Understanding the UK Minimum Wage in 2026/27

If you're asking "what's minimum wage" in the UK for the coming year, the answer depends on your age and the number of hours you work. From 1 April 2026, the government has confirmed new rates following recommendations from the Low Pay Commission. The National Living Wage (NLW) for workers aged 21 and over rises to £12.71 per hour, a 4.1% increase from £12.21. For younger workers, the 18-20 rate becomes £10.85, while the 16-17 and apprentice rates both increase to £8.00. These figures are official from GOV.UK.

Full-Time vs Part-Time: Why Hours Matter

When converting an hourly rate to an annual salary, the number of contracted hours per week is crucial. Most full-time roles in the UK are based on 35 to 40 hours per week, with 37.5 hours being common in sectors like the NHS, local government, and many office jobs. Part-time roles can be any number of hours below the full-time threshold, often defined as fewer than 30 paid hours per week (or 25 for teaching professions, according to ONS ASHE).

The standard conversion used by employers and HMRC is:

Annual salary = hourly rate × weekly hours × 52 weeks

For example, working 37.5 hours per week at the new NLW of £12.71 gives a gross annual salary of £24,784.50. After income tax and National Insurance, the monthly take-home pay is approximately £1,780 (based on 2026/27 tax rates with the standard 1257L code and no pension deductions). If you work 40 hours per week, the same hourly rate yields £26,436.80 gross per year.

Part-time workers should use their actual contracted hours. A 20-hour week at £12.71/hr gives £13,218.40 gross annually. Remember that the minimum wage applies per hour worked, so part-time employees are entitled to the same hourly rate as full-time colleagues doing similar work.

Benchmarks: How Does Minimum Wage Compare?

The ONS Annual Survey of Hours and Earnings (ASHE) for April 2025 shows that median full-time weekly earnings were £766.60, and median hourly earnings (excluding overtime) were £19.67. For employees who had been in their job for at least a year, median gross annual earnings were £39,039. This means the National Living Wage of £12.71 is well below the median, but it serves as a legal floor.

For public sector workers, NHS Employers has published 2026/27 pay scales. The lowest band (Band 1, closed to new entrants) starts at £12.92 per hour, slightly above the NLW. Higher bands offer significantly more, with London weighting adding a supplement for those in high-cost areas.

How to Convert a Salary to an Hourly Rate

If you have a job offer with an annual salary and want to know the hourly equivalent, divide the salary by (weekly hours × 52). For a £30,000 salary at 37.5 hours/week, the hourly rate is £15.38. At 40 hours, it's £14.42. This is useful when comparing job offers with different hours. Our salary data page provides more benchmarks across industries and regions.

Overtime, London Weighting, and Other Adjustments

The simple hourly-to-annual conversion assumes a steady contracted week with no unpaid overtime. In reality, many jobs include overtime paid at a higher rate (often 1.5× or 2×), which can boost annual earnings. London weighting or other location allowances can add 15-20% to base pay in some roles, particularly in the public sector. Always check your contract for these details.

Some calculators use 52.14 weeks (365.25 days ÷ 7) instead of 52, but the difference is negligible – less than £40 per year on a full-time minimum wage salary. The PAYE system runs on 52 weeks, so that's the standard to use.

Using the Hourly to Salary Calculator

To get a precise conversion for your situation, use our hourly calculator. It allows you to input your hourly rate, weekly hours, and any deductions like pension or student loan. The calculator uses the standard 52-week year and current tax codes.

Key Takeaways

• The National Living Wage for 21+ is £12.71/hr from April 2026.
• Annual salary = hourly rate × weekly hours × 52.
• Part-time workers must be paid at least the same hourly rate as full-time.
• Median full-time earnings are much higher, at around £19.67/hr.
• Always verify your contract for overtime, London weighting, and other allowances.

If you're still wondering "what's minimum wage" for your specific age and hours, refer to the official GOV.UK rates or use our calculator for a personalised estimate.