Minimum wage and pension contribution changes
The National Minimum Wage and National Living Wage rates change from 1 April 2018
Minimum Wage and Pension Contribution changes
The National Minimum Wage and National Living Wage rates change from 1 April 2018. The current rates and new rates that come into effect on 1 April 2018 are shown below:
| Year | 25 and over | 21 to 24 | 18 to 20 | Under 18 | Apprentice |
| April 2017 (current) | £7.50 | £7.05 | £5.60 | £4.05 | £3.50 |
| April 2018 | £7.83 | £7.38 | £5.90 | £4.20 | £3.70 |
Apprentices are entitled to the apprentice rate if they’re either:
- aged under 19, or
- aged 19 or over and in the first year of their apprenticeship
Auto Enrolment – Pension Contribution Increase
From 6 April 2018 employer contributions will increase from 1% to 2% of relevant earnings and employee contributions will increase from 1% to 3% of relevant earnings.
There will be no change in the Employment Allowance which remains at £3,000 from April 2018.
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