Understanding Minimum Wage in London

If you're asking what is minimum wage London, the answer depends on whether you mean the legal minimum or the typical pay in the capital. The statutory National Living Wage (NLW) applies across the whole UK, including London. From April 2025, the NLW for workers aged 21 and over is £12.21 per hour. For 18-20 year olds it's £10.00, and for 16-17 year olds it's £7.55. There is no separate London minimum wage in law.

However, many London employers – especially in the public sector – add a 'London weighting' or 'London allowance' to attract and retain staff. For example, the NHS pays a Higher Cost Area Supplement (HCAS) of 20% of basic salary for inner London, subject to a minimum of £5,794 and a maximum of £8,746 per year (2026/27 rates). This means a Band 5 nurse starting on £38,488 could earn over £44,000 after HCAS.

Hourly to Annual Salary Conversion

To compare hourly jobs with salaried offers, you need to convert. A standard conversion uses hours per week × 52 weeks. For a full-time role of 37.5 hours per week:

• National Living Wage (2025): £12.21/hr × 37.5 × 52 = £23,809.50 gross per year
• Median UK full-time hourly (ONS ASHE 2025): £19.67/hr × 37.5 × 52 = £38,356.50 (close to the reported median annual of £39,039)

Remember: this assumes a steady contracted week with no unpaid overtime, bonuses, or salary sacrifice. Actual pay depends on your rota, holiday pay method, and any London weighting. Use our hourly calculator for precise figures.

How London Pay Differs

While the statutory minimum is the same, London's cost of living means many roles pay above the NLW. The ONS Annual Survey of Hours and Earnings (ASHE) 2025 shows median full-time hourly earnings (excluding overtime) of £19.67 nationally – well above the minimum. In London, median pay is typically higher, though ASHE regional breakdowns are available in their data tables.

For job seekers, comparing an hourly rate with a salaried offer requires looking at total compensation: base pay, London weighting, overtime rates, and benefits. The NHS pay scales for 2026/27 illustrate this: Band 6 entry at £20.44/hour (annual £47,951) plus HCAS can push the effective hourly rate much higher.

Key Takeaways

• Statutory minimum wage in London is the same as the UK: £12.21/hr for 21+ (2025).
• London weighting is common but not mandatory; check your contract.
• Conversion rule: annual ≈ hourly × hours/week × 52.
• Median UK full-time hourly is £19.67 (ONS ASHE 2025), so many London jobs pay well above minimum.

For more salary benchmarks, see our salary data page. And if you're comparing job offers, our Hourly to Salary tool can help you see the annual equivalent instantly.

Frequently Asked Questions

What is the minimum wage in London for 2025?

The statutory minimum is the National Living Wage: £12.21 per hour for workers aged 21+. Some employers pay more, such as the NHS with its HCAS supplement.

How do I convert an hourly wage to an annual salary in the UK?

Multiply your hourly rate by your weekly hours and then by 52. For example, £12.21 × 37.5 × 52 = £23,809.50. Use our Hourly to Salary for quick conversions.

Does London have a higher minimum wage than the rest of the UK?

No, the legal minimum is national. However, many London employers add a London weighting or pay the voluntary London Living Wage.