Millions of workers across the UK will get up to £900 extra in their bank accounts from April 2026 in a major pay boost.

Chancellor Rachel Reeves has confirmed she has accepted recommendations from the Low Pay Commission and will increase minimum wage rates by 4.1% in the new tax year. Reeves said the boost will ensure those on low incomes are “properly rewarded” for their work. The pay boost will see the National Living Wage rise from £12.21 to £12.71 per hour for eligible workers aged 21 and over from April 2026, which the government said will increase gross annual earnings for a full-time worker on the rate by £900, benefiting around 2.4 million low-paid workers.

The National Minimum Wage rate for 18 to 20 year-olds will rise by 8.5% from £10 to £10.85 per hour, narrowing the

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