Money is more than numbers — it buys food, travel, and small comforts. From 1 April 2025, the UK raised the National Minimum Wage. For anyone working in the UK or comparing pay across borders, knowing the new rates.
What changed on 1 April 2025
The government increased the National Minimum Wage following the Low Pay Commission’s recommendation. These are the headline hourly rates (and approximate conversions using £1 = ₹103):
• National Living Wage (age 21+): £12.21 → ₹1,257 per hour
• Age 18–20: £10.00 → ₹1,030 per hour
• Age 16–17: £7.55 → ₹778 per hour
• Apprentice rate: £7.55 → ₹778 per hour
• Accommodation offset: £10.66 → ₹1,097 per hour
(These are official GBP rates; conversions are rough guides — check live exchange rates before budgeting.)
Who this affects
Most employees are covered by these rates. Exceptions include certain volunteers, self-employed contractors, and specific training placements. If you receive pay in pounds and send money home or compare incomes with India, these rupee equivalents help make decisions clearer. Employers must update payroll and compliance.
How pay is calculated (simple facts)
The minimum rate applies per hour worked. Employers must calculate total pay divided by hours worked to confirm compliance. Some bonuses and benefits-in-kind count toward pay; others do not. Holiday pay and overtime calculations must reflect the higher base rate. Apprentices and young workers have separate rules.
Why the change matters
These figures are not just policy, they touch day-to-day lives. For a worker, ₹1,257 an hour can mean the difference between covering travel or helping family back home. For employers, paying the right rate avoids legal penalties and helps staff morale. Check your payslip: if the hourly rate is lower than the legal minimum for your age, raise the question with HR or use official guidance.
Practical steps (for workers & employers)
Workers: check your payslip and total hours; if in doubt, gather payslips and time records and contact HMRC or ACAS for guidance. Employers: update payroll systems, check contracts, and recalculate holiday pay and overtime with the new rates. Both: be aware of the accommodation offset when housing is provided, it reduces the cash pay needed but must be applied correctly.
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