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what's the minimum wage

What's the Minimum Wage in the UK? Hourly Rates, Annual Salaries and Part-Time vs Full-Time Explained

From April 2026, the National Living Wage for workers aged 21 and over is £12.71 per hour, which equates to an annual salary of approximately £24,785 for a standard 37.5-hour week.

What's the Minimum Wage in the UK? A Complete Guide for 2026/27

If you're asking "what's the minimum wage" in the UK for 2026/27, the answer depends on your age and employment status. The government sets different rates for different age groups, and the National Living Wage (NLW) applies to workers aged 21 and over. From 1 April 2026, the NLW rises to £12.71 per hour, a 4.1% increase from £12.21. For younger workers, the National Minimum Wage (NMW) rates also increase: £10.85 for those aged 18-20, and £8.00 for 16-17 year olds and apprentices.

Understanding these rates is essential whether you're a job seeker negotiating pay, an employer checking compliance, or an employee planning your finances. This guide explains the latest rates, how to convert hourly pay to annual salary, and the important differences between full-time and part-time work.

National Living Wage and National Minimum Wage Rates from April 2026

The government announced the new rates following recommendations from the Low Pay Commission. The NLW for workers aged 21 and over increases to £12.71 per hour. The 18-20 rate rises to £10.85, the 16-17 rate to £8.00, and the apprentice rate to £8.00. These rates apply across the UK, including Scotland, Wales, and Northern Ireland.

For workers who receive accommodation from their employer, the accommodation offset (the daily amount that can be counted towards the minimum wage) increases to £11.10 per day. This is important for jobs like live-in care or hospitality where accommodation is provided.

Hourly to Annual Salary Conversion: How to Calculate Your Pay

To convert an hourly rate to an annual salary, use this simple formula:

Annual salary ≈ hourly rate × hours per week × 52 weeks

For example, a full-time employee on the National Living Wage (£12.71) working 37.5 hours per week would earn:

£12.71 × 37.5 × 52 = £24,784.50 per year (gross)

If you work 35 hours per week (common in some sectors), the annual figure would be:

£12.71 × 35 × 52 = £23,132.20

For part-time workers, use your actual contracted hours. Someone working 20 hours per week on the NLW would earn:

£12.71 × 20 × 52 = £13,218.40 per year

Remember that these are gross figures before tax and National Insurance. The tax-free Personal Allowance for 2026/27 is £12,570, meaning you'll pay income tax on earnings above that threshold.

Part-Time vs Full-Time: How Hours Affect Your Pay

The definition of full-time and part-time matters for understanding earnings benchmarks. The Office for National Statistics (ONS) defines full-time as working more than 30 paid hours per week (or 25 for teaching professions). Part-time is 30 hours or fewer. However, your contract may define full-time differently, often 35-40 hours per week.

When comparing hourly rates to annual salaries, it's crucial to know the hours assumption. The median full-time employee in the UK earned £39,039 per year in April 2025, according to the ONS Annual Survey of Hours and Earnings (ASHE). That equates to roughly £20.02 per hour at 37.5 hours per week. But part-time workers typically earn less annually even if their hourly rate is similar, because they work fewer hours.

The National Minimum Wage applies equally to part-time and full-time workers. You cannot be paid less per hour just because you work part-time. However, part-time workers may miss out on some benefits like overtime premiums or shift allowances if their contract doesn't include them.

Regional Variations and London Weighting

Minimum wage rates are national, but actual pay can vary significantly by region. London and the South East often have higher wages due to higher living costs. Many employers, especially in the public sector, add London weighting or Higher Cost Area Supplements (HCAS).

For example, NHS pay scales for 2026/27 include HCAS for inner London, outer London, and fringe areas. A Band 1 role (closed to new entrants) starts at £12.92 per hour, but with HCAS the rate can be higher. Band 6 roles start at £20.44 per hour. These rates are above the NLW and reflect the additional cost of living in certain areas.

If you're job hunting, always check whether a salary includes London weighting or regional allowances. The Hourly to Salary tool on our site can help you compare offers with different hours and allowances.

Using the ONS ASHE Data as a Benchmark

The ONS Annual Survey of Hours and Earnings provides the most authoritative picture of UK pay. The latest data (April 2025) shows median weekly earnings for full-time employees at £766.60, up 5.3% from the previous year. Median hourly earnings (excluding overtime) were £19.67. These figures are useful for comparing your own pay against national averages.

However, ASHE data has caveats. It captures a 1% sample of employees based on HMRC PAYE records. It excludes the self-employed and those not on PAYE. Also, the figures are from April 2025; the 2026 survey will be published later. For the most up-to-date minimum wage rates, always refer to GOV.UK.

Key Takeaways for Job Seekers and Employees

  • The National Living Wage for 21+ is £12.71 per hour from April 2026.
  • Younger workers have lower NMW rates: £10.85 (18-20), £8.00 (16-17), £8.00 (apprentice).
  • To estimate annual salary, multiply hourly rate by weekly hours and 52.
  • Full-time median earnings are around £39,039 per year (April 2025 data).
  • Part-time workers must be paid at least the minimum wage per hour, but annual earnings will be lower due to fewer hours.
  • London weighting and HCAS can significantly increase take-home pay.

For more detailed salary comparisons and conversion tools, explore our salary data page and salary articles for sector-specific guides.

Frequently Asked Questions

What is the National Living Wage for 2026/27?

From 1 April 2026, the National Living Wage for workers aged 21 and over is £12.71 per hour. This is a 4.1% increase from the previous rate of £12.21. For a full-time employee working 37.5 hours per week, this equates to an annual gross salary of approximately £24,785.

How do I convert my hourly rate to an annual salary?

To convert an hourly rate to an annual salary, multiply your hourly pay by the number of hours you work per week, then multiply by 52 (weeks per year). For example, if you earn the National Living Wage (£12.71) and work 37.5 hours per week, your annual salary would be £12.71 × 37.5 × 52 = £24,784.50. This assumes a steady weekly schedule with no unpaid overtime. For part-time workers, use your actual contracted hours.

What are the National Minimum Wage rates for younger workers and apprentices?

From April 2026, the 18-20 year old rate is £10.85 per hour, the 16-17 year old rate is £8.00 per hour, and the apprentice rate (for apprentices under 19 or in their first year) is also £8.00 per hour. These rates are set by the Low Pay Commission and apply to all eligible workers regardless of whether they work full-time or part-time.

FAQs

What is the National Living Wage for 2026/27?

From 1 April 2026, the National Living Wage for workers aged 21 and over is £12.71 per hour. This is a 4.1% increase from the previous rate of £12.21. For a full-time employee working 37.5 hours per week, this equates to an annual gross salary of approximately £24,785.

How do I convert my hourly rate to an annual salary?

To convert an hourly rate to an annual salary, multiply your hourly pay by the number of hours you work per week, then multiply by 52 (weeks per year). For example, if you earn the National Living Wage (£12.71) and work 37.5 hours per week, your annual salary would be £12.71 × 37.5 × 52 = £24,784.50. This assumes a steady weekly schedule with no unpaid overtime. For part-time workers, use your actual contracted hours.

What are the National Minimum Wage rates for younger workers and apprentices?

From April 2026, the 18-20 year old rate is £10.85 per hour, the 16-17 year old rate is £8.00 per hour, and the apprentice rate (for apprentices under 19 or in their first year) is also £8.00 per hour. These rates are set by the Low Pay Commission and apply to all eligible workers regardless of whether they work full-time or part-time.

Hourly to Salary

Pull → year

£477/wk ·£2,065/mo

£24,785

Formula: hourly × hours/week × 52 · tip shows annual gross