Understanding the National Minimum Wage in the UK

If you are asking what is national minimum wage for the current year, the answer depends on your age and whether you are an apprentice. The UK government sets two main minimum pay rates: the National Living Wage (NLW) for workers aged 21 and over, and the National Minimum Wage (NMW) for younger employees. These rates are updated every 1 April.

National Minimum Wage Rates for 2026/27

According to GOV.UK National Minimum Wage rates, from April 2026 the hourly rates are:

• 21 and over (National Living Wage): £12.71
• 18 to 20: £10.85
• Under 18: £8.00
• Apprentice: £8.00 (for apprentices under 19 or in their first year)

These rates represent a significant increase from the previous year. In April 2025, the NLW was £12.21 and the NMW for 18–20 year olds was £10.00.

How Hourly Rates Translate to Annual Salary

To compare hourly jobs with salaried offers, you need to convert hourly pay into an annual figure. A standard assumption for full-time work is 37.5 hours per week, 52 weeks per year. Using this:

• NLW £12.71/hr × 37.5 hrs × 52 weeks ≈ £24,784.50 per year
• NMW £10.85/hr (18–20) × 37.5 × 52 ≈ £21,157.50 per year

These are gross figures before tax and National Insurance. The Hourly to Salary tool on this site can help you do the maths for any hourly rate.

UK Median Earnings as a Benchmark

The Office for National Statistics (ONS) Annual Survey of Hours and Earnings (ASHE) for 2025 reports that median gross annual earnings for full-time employees were £39,039. Median hourly pay (excluding overtime) was £19.67. This is well above the National Living Wage, reflecting the mix of occupations across the economy.

ONS also notes that only 2.5% of employee jobs were low-paid (below £11.97 per hour) in April 2025, the lowest proportion since records began in 1997. The highest concentration of jobs was paid within 20 pence of the NLW, showing how many workers are at or near the minimum.

NHS Pay Scales for 2026/27

Public sector pay offers another reference point. The NHS Employers pay scales for 2026/27 show:

• Band 1 (closed to new entrants): £12.92/hr, annual £25,272
• Band 2 (entry): £15.89/hr, annual £31,066
• Band 6 (entry): £20.44/hr, annual £39,926

These rates include Higher Cost Area Supplements (HCAS) for London and other high-cost areas. For example, Band 2 with outer HCAS can reach £31,066 annually.

What This Means for Job Seekers

When comparing an hourly job with a salaried role, consider:

• Contracted hours: A 37.5-hour week is common, but some roles offer 35, 40, or even 48 hours. Always check your contract.
• Overtime: Some hourly jobs pay time-and-a-half or double time for extra hours, which can boost annual earnings significantly.
• London weighting: Employers in London and the South East often add a supplement to attract staff. The NHS HCAS is one example.
• Benefits and pension: Salary sacrifice schemes (e.g., for childcare or cycle-to-work) reduce taxable income but also affect take-home pay.

Our salary data page provides more detailed breakdowns by occupation and region.

Important Caveats

The conversion from hourly to annual salary is a rough guide. It assumes a steady weekly schedule with no unpaid leave, no bonuses, and no salary sacrifice. Actual pay depends on your rota, holiday pay method, and whether you work bank holidays. Always refer to your employment contract and official GOV.UK guidance for the latest minimum wage rules.

Frequently Asked Questions

What is the National Minimum Wage for someone aged 18 in 2026/27?

For workers aged 18 to 20, the National Minimum Wage from April 2026 is £10.85 per hour. This is lower than the National Living Wage (£12.71) which applies to those aged 21 and over. If you are an apprentice aged 18 in your first year, you are entitled to the apprentice rate of £8.00 per hour.

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

A common rule of thumb is to multiply your hourly rate by the number of contracted hours per week and then by 52 weeks. For a full-time role of 37.5 hours per week, the formula is: hourly rate × 37.5 × 52. For example, the National Living Wage of £12.71 gives roughly £24,785 per year. Remember that actual annual pay may vary if you work overtime, have unpaid leave, or receive bonuses.

What is the difference between the National Living Wage and the National Minimum Wage?

The National Living Wage (NLW) is the minimum hourly rate for workers aged 21 and over. The National Minimum Wage (NMW) applies to younger workers aged 16–20 and apprentices. Both are set by the government and updated each April. In 2026/27, the NLW is £12.71, while the NMW for 18–20 year olds is £10.85 and for under 18s it is £8.00. Apprentices have a separate rate of £8.00.

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Disclaimer: Hourly-to-salary figures assume a steady contracted week with no unpaid overtime, bonus, tips or salary sacrifice. Annual ≈ hourly × hours/week × 52. Actual pay depends on rota, holiday pay method, London weighting and overtime rules. Always check your contract and official GOV.UK guidance.