In the Autumn Statement delivered on 17 November 2022 by Jeremy Hunt,  it was announced that it has accepted the Low Pay Commission's proposed increases to the national living wage (NLW) and national minimum wage (NMW) rates from 1 April 2023. 

The NLW, which applies to workers aged 23 or over, will increase by a record 9.7% to £10.42 per hour, which is expected to benefit over 2 million low paid workers and will amount to over £1,600 for a full-time NLW worker.   Opponents of the move were quick to point out the 'benefit' is only if businesses can afford the increase, with increasing fears that some employers will find the challenge of paying an extra 92 pence per hour to be one challenge too far.  

 

The new rates from 1 April 2023 will be:

 

  • Age 23 or over (NLW rate): £10.42 (up 9.7% from £9.50).
  • Age 21 to 22: £10.18 (up 10.9% from £9.18).
  • Age 18 to 20: £7.49 (up 9.7% from £6.83).
  • Age 16 to 17: £5.28 (up 9.7% from £4.81).
  • Apprentice rate: £5.28 (up 9.7% from £4.81).
  • Accommodation offset amount: £9.10 (up 4.6% from £8.70).