New minimum wage rates for April 2017

On Saturday 1 April 2017, the National Minimum Wage rates go up which is good news for some of the lowest paid, even if it looks to be less than earlier targets. However for younger workers the situation is worse. The minimum wage is still less in real terms for them than it was a decade ago – it just hasn’t kept up with price rises.

Here are the new minimum hourly wage rates:

  • £7.50 for workers 25 and above (up from £7.20);
  • £7.05 for 21-24 year olds (up from £6.95);
  • £5.60 for 18-20 year olds (up from £5.55);
  • £4.05 at age 16 and 17 (up from £4.00); and
  • £3.50 for most apprentices

For most people, this is the minimum you should be paid from 1 April 2017. If you’d like to check out what you are entitled to try our minimum wage calculator.

Minimum wages for young workers are less than 10 years ago

TUC analysis shows as the new minimum wage rate kicks in that workers aged 16-20 are earning less in real terms than they were in 2008.

This means if you’re a 19 year old working a 40 hour week on the minimum wage, you are £250 worse off. A 16 or 17 year old would be even worse hit - £300.

The TUC’s Frances O’Grady said:

“Young workers are getting a raw deal, especially those stuck on the minimum wage. As prices rise, their pay simply hasn’t kept up.

More and more people rely on the minimum wage, but the pay rates aren’t increasing fast enough. The government’s target of £9 by 2020 now seems like a fantasy. The minimum wage needs a serious boost in the coming years, especially for younger workers.

I’d also encourage more employers to adopt the real Living Wage standard. Not only will it be good for their workers, but to help attract and retain talent.”