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Apprenticeship wages will see a 5.4% increase from April 2019
In April 2019, the Apprentice National Minimum Wage will increase to £3.90 an hour, from £3.70. This increase, of 5.4%, will be the largest across all the minimum wage rates rises in 2019. The 20 pence extra is a 5.4 per cent rise and follows last year’s increase from £3.50 and is larger by proportion than all other minimum wage groups.
Over the past few years, we’ve seen the apprenticeship wage increase substantially to encourage more young people to see it as an attractive, and viable option for their future.
The rise will mean that all apprentice employers paying minimum wage are required to increase their apprentice’s pay, by law. However, we know that many employers already pay more than the UK national minimum wage, so won’t be hugely impacted by the change.
An apprentice who has completed their first year of their apprenticeship will not be affected this and is entitled to the minimum hourly rate of their age group.
The increase in minimum wage is a huge incentive for more young people to apply for an apprenticeship, as businesses already have incentives including not needing to pay any National Insurance contributions for apprentices under 25 years old.
The continued Government support for apprenticeships has provided fantastic benefits to both the employers, and apprentices, and if you’d like to find out how taking an apprenticeship could benefit your business please click here or if you are considering an apprenticeship and want more info, please click here
What is the apprentice rate?
The apprentice rate applies to all apprentices aged between 16 and 18, and to those aged 19 and above for the first year of their apprenticeship. At present, this is £3.70 an hour.
What was the increase announced?
Following the recommendation of the Low Pay Commission, the chancellor announced an increase of 5.4 percent (or 20p) to £3.90 an hour. This comes into effect in April 2019.
Full breakdown of new rates:
The hourly rate for the minimum wage depends on your age and whether you’re an apprentice.
You must be at least:
- School leaving age to get the National Minimum Wage
- Aged 25 or over to get the National Living Wage – the minimum wage will still apply for workers aged 24 and under
The rates for the National Minimum Wage and the National Living Wage change every April.
Full list of new rates (per hour)
Previously £3.70 to £3.90
Under 18 employees
Previously £4.20 to £4.35
18 to 20 employees
Previously £5.90 to £6.15
21 to 24 employees
Previously £7.38 to £7.70
25 and over employees
Previously £7.83 to £8.21