The latest increase to national minimum wage & more

22 April 2026

Now that we have entered a new financial year, our employment team highlights the latest increase to minimum wage and other rates that will affect your business.

Our employment law team highlights this year’s rate changes, including the new national living wage and national minimum wage.

Vento bands (injury to feelings awards)

Vento band	Claims presented up to 5 April 2026	Claims presented from 6 April 2026
Lower band	£1,200 – £12,100	£1,300 – £12,600
Middle band	£12,100 – £36,400	£12,600 – £37,700
Upper band	£36,400 – £60,700	£37,700 – £62,900
Exceptional cases	Over £60,700	Over £62,900

*Applicable to discrimination and whistleblowing detriment injury to feelings awards.

National living wage & national minimum wage

Worker category	Rate to 31 March 2026	Rate from 1 April 2026	% increase
National living wage (21+)	£12.21	£12.71	4.1%
Aged 18–20	£10.00	£10.85	8.5%
Aged 16–17	£7.55	£8.00	6.0%
Apprentice rate	£7.55	£8.00	6.0%
Accommodation offset (daily)	£10.66	£11.10	4.1%

Unfair dismissal awards (statutory caps)

Award/limit	Up to 5 April 2026	From 6 April 2026
Statutory maximum compensatory award	£118,223	£123,543
Statutory cap on a week’s pay	£719	£751

The compensatory award remains capped at the lower of the statutory maximum or 52 weeks’ gross pay. However, caps are expected to be removed from January 2027 under the Employment Rights Act 2025.

These above increases may raise tribunal exposure, and employers should factor these uprating’s into settlement strategy, risk assessments, and budgeting for 2026/27.

If you would like to discuss any of the latest changes with our team, please don’t hesitate to get in touch.

Our Legal 500-rated employment law & business immigration team are experts in guiding businesses of all sizes and backgrounds through a range of issues that may arise.

Disclaimer: All legal information is correct at the time of publication but please be aware that laws may change over time. This article contains general legal information but should not be relied upon as legal advice. Please seek professional legal advice about your specific situation - contact us; we’d be delighted to help.

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The latest increase to national minimum wage & more

Now that we have entered a new financial year, our employment team highlights the latest increase to minimum wage and other rates that will affect your business.

Vento bands (injury to feelings awards)

National living wage & national minimum wage

Unfair dismissal awards (statutory caps)

News & insights

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Achante Anson (she/her) LLB (Hons)

Trainee solicitor

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