At 4.1%, the main Living Wage rise is roughly in line with inflation - with the Consumer Prices Index including housing (CPIH) at 3.8% and Retail Prices Index (RPI) at 4.3%.

From April 2026, the National Living Wage rate - for workers aged 21 and above - will see their wages go up by 4.1% from £12.21 to £12.71 an hour - a £900 annual increase.

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That means a full-time worker doing a standard 37.5 hour week will see their pay packet rise to £24,785 a year.

For younger workers, the National Minimum Wage is set to rise 8.5% from £10 to £10.85 an hour - or by £1,500 a year.

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