UK Wage Rises and Tax Changes Start April 2026

As April 2026 begins, the United Kingdom ushers in a series of financial and legal changes that will impact households, workers, and businesses nationwide. Starting today, minimum wage rates rise for millions, energy bills decrease temporarily, and various taxes and fees increase, coinciding with the end of the current tax year on April 5 and the start of the new financial year on April 6.

The most immediate boost comes for low-paid workers. From April 1, the National Living Wage for those aged 21 and over increases by 4.1 percent to £12.71 per hour, up from £12.21, adding about £1,440 annually for a full-time worker on a 37.5-hour week before tax. Rates for 18- to 20-year-olds rise 8.5 percent to £10.85 per hour, while apprentices and those under 18 see a 6 percent increase to £8 per hour. Government officials estimate these adjustments will benefit around 2.7 million workers, providing a real-terms pay rise amid ongoing cost-of-living pressures. Statutory sick pay also climbs to £123.20 per week from £118.70, with maternity, paternity, adoption, and parental bereavement payments rising to £194.30 per week.

Energy costs offer some relief for now. The Ofgem price cap for a...