From April 2019, minimum pay rates will increase as set out below.
• National Living Wage (NLW) rates for workers aged 25 and over – from £7.83 to £8.21 per hour.
• National Minimum Wage rates:
- workers aged 21–24 — from £7.38 to £7.70 per hour
- workers aged 18–20 — from £5.90 to £6.15 per hour
- workers aged 16–18 — from £4.20 to £4.35 per hour
- apprentice rate — from £3.70 to £3.90 per hour.
The accommodation offset rate will rise to £7.55.
This should mean that a full-time worker aged 25 and over on the NLW will receive an annual pay increase of £690.
Employers are reminded that these rates are not optional. HMRC police the National Minimum Wage and NLW regulations and employers found to be in breach will be subject to penalties and have to repay any arrears to affected employees.
If you would like to discuss this post in more depth please contact DSC Accountants in Skipton 01756 691065, Harrogate 01423 560547 or Leeds 01423 560547.