April 2025 Minimum Wage Rates
From 1 April 2025, the UK minimum wage rates are: National Living Wage (aged 21 and over): £12.21 per hour. Aged 18–20: £10.00 per hour. Aged under 18 (not an apprentice): £7.55 per hour. Apprentice rate (under 19, or in first year of apprenticeship): £7.55 per hour. These represent increases of around 6.7% for the National Living Wage compared to 2024/25 rates. The government has stated its target is for the NLW to reach two-thirds of median earnings — a target that has now been met. The Low Pay Commission recommends annual increases each autumn, which the government typically accepts.
"From 1 April 2025, the UK minimum wage rates are: National Living Wage (aged 21 and over): £12.21 per hour"
Who Is Entitled to Minimum Wage
Almost all workers in the UK are entitled to the National Minimum Wage regardless of their employment status. This includes full-time and part-time employees, workers on zero-hours contracts, agency workers, home workers paid by output, and most agricultural workers. The rate depends on your age, not the type of work you do. Genuine self-employed people are not covered by minimum wage legislation — but if you are engaged as self-employed when the reality of your working arrangement is employee-like, you may have worker status and be entitled to minimum wage. HMRC takes misclassification seriously.
What Counts as Pay for Minimum Wage Purposes
Not all payments from an employer count toward minimum wage. Items that DO count: basic salary, piece rates, commission and bonuses directly linked to performance, shift allowances. Items that do NOT count: overtime premiums, tips paid by customers, loans or salary advances, expense reimbursements, accommodation above the daily offset. The accommodation offset is important for live-in workers — employers can charge a maximum of £10.01 per day for accommodation in 2025/26, and this can be deducted from pay without breaching minimum wage rules.
How to Check If You Are Being Underpaid
To check whether you are receiving at least the minimum wage: take your total pay in any period (before tax but after permitted deductions), divide it by the number of hours you actually worked (including mandatory unpaid time such as pre-shift briefings and travelling between sites). Compare the result to the minimum wage rate for your age. Be careful with hours — include any time you were required to be at work even if not actively working, mandatory training time, and standby time if you must remain at your employer's premises.
"Compare the result to the minimum wage rate for your age"
Common Minimum Wage Violations
HMRC's enforcement data consistently shows the same types of violations: deducting the cost of uniforms, safety equipment, or DBS checks from wages in a way that pushes take-home pay below minimum wage; failing to pay for mandatory training time; requiring workers to clock in after they have already started work; deducting from pay for till shortages or customer non-payment; paying below the age-appropriate rate. Zero-hours and hospitality workers are disproportionately affected. Since October 2024, tips paid by card that are deducted from wages or redistributed unfairly are also illegal under the Employment (Allocation of Tips) Act.
Apprentice Pay Rules
Apprentices aged under 19, or apprentices in the first year of their apprenticeship regardless of age, are entitled to the apprentice rate of £7.55 per hour from April 2025. Apprentices aged 19 or over who are in their second or subsequent year of an apprenticeship are entitled to the minimum wage rate for their age — so a 21-year-old in their second year of an apprenticeship must be paid at least £12.21 per hour. Many employers pay the full NLW to all apprentices regardless of age as a matter of policy.
What to Do If You Are Being Underpaid
If you believe you are being paid below the minimum wage, you have several options. First, raise it informally with your employer — many violations are accidental. If that does not work, HMRC has a confidential minimum wage helpline and online complaint form. HMRC investigates every complaint. If underpayment is confirmed, HMRC can require the employer to back-pay arrears for up to six years and impose a penalty of up to 200% of the arrears owed. The employer may also be named publicly. You are protected from dismissal or detriment for raising a minimum wage complaint.
"If you believe you are being paid below the minimum wage, you have several options"
The minimum wage law is frequently broken — intentionally and accidentally. Common violations include deducting the cost of uniforms, tools, or DBS checks from wages; counting unpaid travel time between appointments; requiring staff to arrive early or stay late without pay; and making deductions for till shortages. If you are paid below the minimum wage, you are legally entitled to backdated pay for up to six years. HMRC investigates complaints and can issue penalties of up to 200% of arrears owed.
Finance Motion — General guidance only.
Not regulated financial advice.