What is the Minimum Wage in London?

If you are asking what is the minimum wage in London, the short answer is that the statutory minimum wage is set nationally and does not vary by region. As of April 2025, the National Living Wage (NLW) for employees aged 21 and over is £12.21 per hour, according to the Office for National Statistics (ONS ASHE) and GOV.UK. For workers aged 18–20 the rate is £10.00 per hour, and for 16–17 year olds it is £7.55 per hour. Apprentices also have a separate rate of £7.55 per hour.

However, London’s higher cost of living means many employers pay above these legal minimums. This guide explains the current rates, how to convert hourly pay to annual salary, and what London weighting means for your take-home pay.

National Living Wage and National Minimum Wage Rates

The government sets the NLW and NMW each year based on recommendations from the Low Pay Commission. The rates effective from April 2025 are:

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

These rates apply across the whole of the UK, including London. There is no separate “London minimum wage” in law.

London Weighting and Higher Pay in Practice

Despite the uniform statutory minimum, many London employers offer higher hourly rates to attract and retain staff. This is often called London weighting or a High Cost Area Supplement (HCAS).

• NHS staff: The NHS pay scales for 2026/27 include HCAS for London. For example, Band 1 (entry level) in London pays £15.89 per hour (annual £31,066), well above the NLW. Higher bands receive even larger supplements. NHS Employers publish the full scales.
• Teachers: From September 2026, minimum starting salaries for teachers in inner London are £41,729 per year, compared to £34,069 outside London. Outer London starts at £39,196, and the London fringe at £35,602. Get Into Teaching GOV.UK provides the breakdown.
• Other sectors: Many private and public sector employers in London include a location allowance, often ranging from £3,000 to £6,000 per year, or a percentage uplift on base pay.

Converting Hourly Pay to Annual Salary

To understand what an hourly wage means in yearly terms, use the standard conversion:

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

For a full-time employee working 37.5 hours per week (a common benchmark in the UK):

• NLW £12.21/hr → £12.21 × 37.5 × 52 = £23,809.50 per year
• NHS Band 1 London £15.89/hr → £15.89 × 37.5 × 52 = £31,066 per year
• Median UK full-time hourly earnings (April 2025) were £19.67/hr, giving an annual equivalent of £38,356.50 (close to the ONS median of £39,039).

Remember that this calculation assumes a consistent 37.5-hour week with no unpaid overtime, and that you work all 52 weeks (including paid holiday). Use our Hourly to Salary calculator to try different hours and rates.

Part-Time vs Full-Time Considerations

The definition of full-time for official statistics is working more than 30 paid hours per week (or 25 for teaching professions). Part-time employees are entitled to the same minimum hourly rates, but their annual earnings will be lower because they work fewer hours. For example, a part-time worker on the NLW working 20 hours per week would earn approximately £12.21 × 20 × 52 = £12,698.40 per year.

When comparing job offers, always check the hourly rate and the guaranteed weekly hours. A role with a higher hourly rate but fewer hours may result in lower annual income than a lower hourly rate with full-time hours.

UK Wage Benchmarks for Context

To put the minimum wage in perspective, here are some key UK earnings figures from the ONS Annual Survey of Hours and Earnings (ASHE) for April 2025:

• Median full-time weekly earnings: £766.60
• Median full-time annual earnings: £39,039
• Median hourly earnings (full-time, excl. overtime): £19.67
• Mean annual basic pay per full-time equivalent in NHS Trusts (Sept 2025): £43,531

These figures show that the minimum wage is a floor, and many workers earn significantly more, especially in London where wages tend to be higher across all sectors.

Summary

While the statutory minimum wage in London is the same as the rest of the UK at £12.21 per hour (21+), the reality is that London workers often earn more due to location allowances, higher pay bands in the public sector, and competitive private sector salaries. When evaluating a job offer, always convert the hourly rate to an annual figure using your contracted hours, and check whether any London weighting is included.

For more detailed salary comparisons, visit our salary data page or read our salary articles on UK pay trends.