05 August 2025
The Department for Business and Trade (DBT) has published a policy paper outlining area’s of consideration for the Low Pay Commission, when recommending the 2025/26 National Minimum Wage (NMW) and National Living Wage (NLW) that will apply from April 2026.
The LPC has confirmed the central estimate for the NLW currently at £12.71, a 4.1% increase, with a projected range that runs from £12.55 to £12.86.
The central estimate back in May 25 was £12.65, a 3.6% increase, with a range from £12.50 to £12.80. Due to the average wage growth being higher than forecast, the range has been increased.
If wage growth continues to outperform the forecast, the central estimate may continue to rise also. However, there are other factors that the LPC are required to take into account, so these figures are to be taken as a guide only at this time.
The LPC are due to deliver their official advice to the government by the end of October 2025. You can read more on the government's news piece on the new estimates.
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