Ella Scott
Around 2.7 million British residents are officially set to receive a pay rise this week, but a hospitality veteran has warned of its potentially devastating impact.
Today (1 April), the National Minimum Wage (NMW)and National Living Wage (NLW) increased relative to ‘inflation, the impact on household incomes for NLW workers, and the likely number of jobs affected’, as per the UK Government.
The new rates, which apply to everyone but differ across various age brackets, do not account for the ‘potential impacts and consequences of the current conflict in the Middle East’, officials warned.
The new rates are based on recommendations the Low Pay Commission (LPC) made in October 2025.
The NLW rose by 4.1 per cent in April 2026 to £12.7.1 for those over the age of 21.
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The government expects the rate to stay ahead of ‘changes in the cost of living’ right up until March 2027.
The 50p uprating is expected to boost NLW employees’ household income, making it easier to buy groceries and pay bills.
It isn’t just 21+ employees who are expected to get a pay rise this week, with workers aged 18 to 20, as well as under-18s and apprentices, also getting a little bit more moolah.
The 18-20 Year Old Rate has increased by 8.5 per cent in April to reach £10.85 - a 85p rise.
Workers under 18 and apprentices will receive £8 an hour from 1 April.
The UK Government said that this six percent wage increase is designed to ‘ensure that pay for these workers does not become too detached from the rates for older workers’.
It’s understood that ‘youth coverage is to rise’ result of the new NMW Youth rates, as per officials.
The BBC reported that the LPC said previous minimum wage rises for over 21s had ‘not had a significant negative impact on jobs’.
However, Spencer Bowman, managing director of Mettricks coffee shops in Southampton, told the publication that he will eventually be forced to close sites if businesses don’t have some reprieve from rising costs.
“There's nothing that I'd want more than to ensure that my team can earn a really fair amount of money for a fair day's work. And it's been one of my long-term ambitions to see hospitality workers, my employees, paid far more,” the businessman informed the publication.
However, he said his company is being squeezed from ‘every angle’, and that things may get more difficult if conflict in the Middle East drives energy bills further.
"We're running on a minimum number of staff on shift. We can't run on fewer people. If something doesn't give somewhere, we will be closing sites.”
"It doesn't make any sense. Revenue is up. Our customer numbers are up. But our costs everywhere have hit a point where we're not financially sustainable and if that continues, there's only one outcome for that.”
Prime Minister Sir Keir Starmer has said that while wages were going up ‘for the lowest paid’ people in the country, the government needs to go ‘further to bear down on costs’.
Not a bad April Fools’ Day, huh?