Legal update – National Living Wage update

The Legal & HR Team would like to remind members of the increase to national minimum wage rates coming into effect on 1 April 2023. The government have accepted the Low Pay Commission’s proposed increased to the national living wage (NLW) and the national minimum wage (NMW). In particular, the 9.7% increase to the NLW will impact over 2 million workers in the UK.

Age New RateOld Rate
23 and over (NLW)£10.42£9.50
21 – 22£10.18£9.18
18 – 20£7.49£6.83
16 – 17£5.28£4.81
Accommodation offset amount£9.10£8.70


This is the largest increase the government has ever made to NMW/NLW rates. It is recommended organisations spend some time ensuring their rates of pay do not fall short of the new minimum rates. Common issues which result in underpayment include:

  1. Deductions from pay
  2. unpaid working time
  3. incorrect use of the apprenticeship rates

For more information, please see the government website. As always, the Legal & HR Team at Scot Eng are happy to answer any queries you may have regarding the new rates of pay.