From 1 April 2025, the National Minimum Wage (NMW) and National Living Wage (NLW) rates have gone up. These changes apply to all UK employers and it’s essential to act now to stay compliant and avoid fines. New Wage Rates (Effective 1 April 2025) National Living Wage (21 and over): £12.21 18–20 year olds: £10.00 16–17 year olds: £7.55 Apprentices: £7.55 (https://www.gov.uk/national-minimum-wage-rates) Note: The NLW now applies to workers aged 21 and over, not just those aged 23 and up, so more employees may be affected than in previous years. What Employers Need to Do Now 1. Update payroll Go through your payroll records and make sure that every employee is being paid at least the new legal minimum. This includes part-time, zero-hours, and casual staff. If you pay a salary, make sure their hourly equivalent still meets the new thresholds. If you're using payroll software, check that it's been updated. If you manage pay manually, do a fresh set of checks to avoid any accidental underpay

Employer National Insurance Contribution changes from April 2025 In the Autumn Budget of 2024 the Chancellor announced four changes to employer National Insurance contributions (NICs), all of which take effect at the start of the 2025-26 tax year (6 April 2025). A reduction of the secondary Class 1 National Insurance (employer) threshold from £9,100 to £5,000 per annum. An increase to the main rate of secondary Class 1 National Insurance (employer) contributions from 13.8% to 15%. An increase to the maximum Employment Allowance claim amount per year from £5,000 to £10,500. The removal of the £100,000 restriction where employers with an employer NIC liability above this level in the previous tax year were unable to claim the Employment Allowance. Single-director companies are not eligible for the employment allowance Limited companies cannot claim Employment Allowance if they have just one director and that director is the only employee liable for secondary Class 1 National Insurance. F