Young people are set to receive a significant pay rise in 2018

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Susan Devaney
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People under the age of 25 are set for a pay rise next year, according to the Low Pay Commission. 

Over a million young people are set for a pay rise in 2018, and those receiving a minimum wage will witness the “biggest hike in hourly earnings for a decade”, according to the Low Pay Commission (LPC).

As the UK government announced the Autumn Budget 2017 last week, the LPC (the body that advises on national minimum and living wages in the UK) recommended a raise for the minimum wage and it was accepted.

From 1 April 2018, the legal minimum wage will increase from £5.60 to £5.90 per hour for those aged 18 to 20, and from £7.05 to £7.38 for 21 to 24-year-olds. According to the LPC, that’s an increase of around 5%. 

The National Living Wage will increase by 4.4% for workers aged 25 and over, from £7.50 to £7.83. 

The National Minimum Wage is not enforceable, but recommended - but the National Minimum Wage is enforced by HM Revenue and Customs. 

However, this increase still falls short of the recommended ‘real living wage’ calculated and set by the independent Living Wage Foundation. According to its calculations, the ideal living wage should be £8.75 for the UK, and £10.20 for London. 

The new rates will directly impact between 260,000 to 360,000 UK workers receiving minimum wage.

“For young people aged between 18 and 24 years-old, commissioners judged that economic conditions warranted larger percentage increases,” the LPC said in a statement

“There have been ongoing improvements in their employment and unemployment position, and their earnings have been growing faster than those of workers aged 25 and over for three years.

“This is good news for the millions of low paid workers who are paid at the minimum rates.”

Currently 3,500 UK employers have voluntarily signed up to pay their workers the ‘real living wage’ to ensure they receive a fair day’s wage.



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Susan Devaney

Susan Devaney is a digital journalist for, writing about fashion, beauty, travel, feminism, and everything else in-between.