The Government has announced National Minimum Wage rates from 1 April 2024, including the National Living Wage, ahead of the Autumn Statement.
National Living Wage (NLW) will rise by 9.8% from £10.42 to £11.44, an increase of £1.02.
This is the largest ever increase in the minimum wage in cash terms and the first time it has increased by more than £1.
The size of the rise has been been driven by the strength of pay growth across the economy, which is forecast to continue into next year.
NLW will also reach the target set by the Government in 2019 to equal to two-thirds of median hourly pay for those aged 21 and over.
In addition, from April 2024, the NLW will be extended to 21 and 22 year olds, fulfilling a recommendation the Low Pay Commission first made in 2019.
The 18–20 year old rate rises by £1.11 to £8.60, and the 16-17 and Apprentice rates both rise by £1.12 to £6.40.
The accommodation offset increases by £0.89 to £9.99.
The Low Pay Commission's full annual report, with the detailed evidence Commissioners used in their deliberations, will be published in early 2024.
The change to minimum wage rates will be reflected in the Homecare Association’s Minimum Price for Homecare 2024/25, which is currently being calculated.
Homecare Association responds to the Autumn Statement and National Living Wage increase.
