What rate of the national minimum wage is payable when 1 October 2016 falls within a worker's pay reference period?
There was no change to the rate of the national minimum wage for workers aged 25 and over (the national living wage of £7.20 per hour) on 1 October 2016, but there were increases to the other rates. Regulation 4B of the National Minimum Wage Regulations 2015 (SI 2015/621) states that the hourly rate at which a worker is entitled to be remunerated in respect of any pay reference period is the one that applies to the worker on the first day of that period. This means that where a pay reference period began before 1 October 2016, the old rate of the national minimum wage will be the one to which the worker is entitled for that reference period.
The rate of the national minimum wage for workers aged 21 and over rose from £6.70 to £6.95 on 1 October 2016. The development rate (for workers aged 18-20 inclusive) rose from £5.30 to £5.55 and the rate for workers aged 16 and 17 rose from £3.87 to £4.00. The apprenticeship rate rose from £3.30 to £3.40.