National Living Wage Increase 2021

The Chancellor announced during his Spending Review on 25 November 2020 that the National living wage will increase by 2.2%.

Furthermore, they have added 23- & 24-year olds to the entitlement from 1 April 2020.

Increases in the other National Minimum Wage (NMW) rates from April 2021 are:

Workers aged 23 and over (NLW): £8.91
Workers aged 21 to 22: £8.36
Workers aged 18 to 20: £6.56
Workers aged 16 to 17: £4.62
Apprentices under 19, or over 19 and in the first year of the apprenticeship: £4.30

Clearly this is great for workers but does increase labour costs for employers.