How Much is Minimum Wage in the UK?

If you're asking "how much is minimum wage" in the UK, the answer depends on your age, whether you're an apprentice, and which year's rates apply. The government sets two main minimums: the National Living Wage (NLW) for workers aged 21 and over, and the National Minimum Wage (NMW) for younger employees. From April 2025, the NLW is £12.21 per hour, rising to £12.71 per hour from April 2026. For a full-time worker on a typical 37.5-hour week, that's roughly £23,810 to £24,785 a year before tax and National Insurance.

But minimum wage is just one benchmark. To understand whether an hourly offer stacks up against a salaried role, you need to compare like with like. This article breaks down the latest official rates, explains how to convert hourly pay to annual salary, and shows where the minimum wage sits relative to median earnings and public sector pay scales.

National Living Wage and National Minimum Wage Rates (2025/26)

The rates that applied on the Annual Survey of Hours and Earnings (ASHE) reference date in April 2025 were:

• £12.21 per hour for employees aged 21 and over (NLW)
• £10.00 per hour for employees aged 18 to 20
• £7.55 per hour for employees aged 16 to 17
• £7.55 per hour for apprentices aged 16 to 18, or those 19+ in their first year

These rates are set by the government and enforced by HMRC. The Low Pay Commission advises on future increases. For 2026/27, the NLW for 21+ is confirmed at £12.71 per hour, according to the site's reference data.

How to Convert Hourly Pay to Annual Salary

When comparing a job advertised at an hourly rate with one offering a fixed annual salary, use this simple formula:

Annual salary ≈ hourly rate × weekly contracted hours × 52 weeks

For example, if you're offered the NLW of £12.21 and work 37.5 hours a week:

£12.21 × 37.5 × 52 = £23,809.50 per year

If you work 40 hours a week instead, the annual figure becomes £12.21 × 40 × 52 = £25,396.80.

Remember: this calculation assumes you are paid for every hour you work, with no unpaid overtime, and that you work all 52 weeks. In reality, many salaried roles include paid holiday, sick pay, and pension contributions, which an hourly contract might not. Always check your contract for details on overtime rates, London weighting, and shift premiums.

Use our Hourly to Salary tool to do the maths instantly.

How Minimum Wage Compares to Median Earnings

The ONS Annual Survey of Hours and Earnings (ASHE) for April 2025 shows that median gross annual earnings for full-time employees were £39,039, equivalent to about £19.67 per hour on a 37.5-hour week. That's over 60% more than the NLW.

Jobs paying less than £11.97 per hour (two-thirds of the median hourly rate of £17.96) are classed as low-paid. In April 2025, only 2.5% of employee jobs fell into this category – the lowest proportion since records began in 1997. At the other end, 23.2% of jobs were high-paid, meaning they paid more than £26.94 per hour (1.5 times the median).

So while the minimum wage provides a floor, most full-time employees earn significantly more. The NLW itself is designed to rise over time towards 60% of median earnings, and the 2025 rate of £12.21 already exceeds two-thirds of the median for all employees (including part-time).

NHS Pay Scales: A Public Sector Benchmark

Public sector pay, particularly the NHS, offers another useful comparison. The NHS Employers website publishes annual and hourly pay scales for each band. For 2026/27:

• Band 1 (closed to new entrants): £12.92 per hour (above the NLW)
• Band 6: £20.44 per hour

These rates include Higher Cost Area Supplements (HCAS) for London and surrounding areas, which can add a significant uplift. For example, an outer London HCAS might add around 20% of basic salary, subject to minimum and maximum payments. If you're comparing an hourly NHS role with a salaried private sector offer, remember that NHS jobs often come with a generous pension, paid leave, and structured progression.

London Weighting and Regional Differences

Minimum wage rates are national, but actual pay varies by region. The ONS ASHE data shows that median earnings in London are higher than the UK average, partly due to higher living costs. Many employers in London and the South East add a London weighting or cost-of-living allowance to attract staff. For example, the Living Wage Foundation's real living wage for London is higher than the national figure. Always factor in location when comparing hourly and salaried offers.

Key Takeaways

• The National Living Wage for 21+ is £12.21 per hour (2025) and £12.71 per hour (2026/27).
• A full-time worker on NLW earns roughly £23,810–£24,785 per year (37.5-hour week).
• The median full-time salary is £39,039, or about £19.67 per hour.
• NHS Band 1 starts at £12.92 per hour (2026/27), above the NLW.
• Use the formula hourly × hours per week × 52 to compare hourly and annual pay.

For more salary data and comparisons, visit our salary data page. If you're negotiating a job offer, our salary articles can help you understand your worth.

Remember: the figures in this article are based on official sources including ONS ASHE, GOV.UK National Living Wage rates, and NHS Employers pay scales. Always check the most current rates on the relevant government website, as rates can change annually in April.