The adult rate of the NMW will rise by 20p from £6.50 to £6.70 per hour, as recommended by the Low Pay Commission (LPC) in March 2015 this year.

At the same time, apprentices will receive a 57p rise to £3.30 per hour. The boost for apprentices is the largest ever and means that those working 40 hours a week will now be paid £1,185 more in their pay packet over the year.

The 3% increase in the adult rate is the biggest real increase since 2006. The new rate means that a full-time employee, working 40 hours, will see the largest cash increase in their annual pay packets since 2008.

From 1 October 2015:

• the adult rate will increase by 20p to £6.70 per hour;
• the rate for 18 to 20 year olds will increase by 17p to £5.30 per hour;
• the rate for 16 to 17 year olds will increase by 8p to £3.87 per hour;
• the apprentice rate will increase by 57p to £3.30 per hour; and
• the accommodation offset increases from the current £5.08 to £5.35.

The apprentice rate applies to all apprentices in year one of an apprenticeship, and 16 to 18 year old apprentices in any year of an apprenticeship. The Low Pay Commission (LPC) recommended that the new rate be set at £2.80 but the government has implemented a higher rate of £3.30.

From April 2016, the government will introduce a new mandatory National Living Wage (NLW) for workers aged 25 years and above, initially set at £7.20.

Full details about the NMW rates are available here https://www.gov.uk/national-minimum-wage-rates

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