UK workers on the National Living Wage are set for an inflation-busting boost from next April, with the rate for those aged over 23 rising from £8.91 to £9.50 an hour

That would give someone over 23 working full-time just over £1,000 extra a year, before tax, and amounts to a 6.6% increase.

The news comes ahead of the formal announcement in the Chancellor’s Budget on Wednesday 27 October and follows the guidance from the Low Pay Commission.

The minimum pay rates for other younger workers are also set to rise.

The National Living Wage for those aged 21-23 will rise from £8.36 to £9.18 an hour, and the Apprentice Rate goes up from £4.30 to £4.81 per hour.

The National Minimum Wage has also been raised. The following rates will be effective from 1 April 2022:

For those over 23 - £8.91 an hour

For those aged 21-22 - £8.36 an hour

For those aged 18-20 - £6.56 an hour

For those aged under 16-17 - £4.62 an hour

Apprenticeship Rate - £4.81 an hour

We have two sessions at the Bookkeepers Summit to explain the key information from the Autumn Budget and bring you fully up to speed. Rebecca Benneyworth will be offering her expert insights and discussing how the announcements affect you and your clients’ tax, and our payroll expert, Ian Holloway, will be looking in-depth at the implications for payroll.