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 Rate Old 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
Apprentice £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.

More Posts

Legal update – Day one rights

  What Employers Should Know Members will be aware that one of the key provisions within the Employment Rights Bill was the introduction of day

Chief Exec’s report Q4 2025

Read the full Q4 2025 Quarterly Review 4 minute read This time last year, we had just experienced the shock of the UK Government’s choice

YEYA 2026

Submit your application for YEYA 2026 The Scottish Engineering Young Engineer of the Year Award (YEYA), has recognised and celebrated the best young engineers in