UK Firms Face 4% Minimum-Wage Rise in 2026, Early Estimates Show

UK businesses are facing another inflation-busting jump in wage costs for their lowest-paid workers next year, the latest blow to labor-intensive sectors that have shed jobs in recent months.

The Low Pay Commission said indicative calculations suggest that keeping the minimum wage for workers aged 21 and over at two-thirds of median earnings would require a 4.1% increase to £12.71 ($16.896) from April 2026.