With effect from 1st April 2024, National Minimum and Living wage rates:

  • For those aged 16/17, and apprentice rates - £6.40 per hour (21.2% increase)
  • For those aged 18-20 - £8.60 per hour (14.8% increase)
  • For those aged 21+ - £11.44 per hour (9.8% increase)
  • Erosion of existing pay differentials at the lower end of pay structures.
  • A gradual increase in numbers of staff subject to annual living wage enhancements in the future.
  • Some increase in pressures on pay budgets.
  • Tensions and dissatisfaction among different staff groups, particularly those at the lower end of the pay structure.

All the pay uplift listed above are statutory and employers are legally bound to apply these as a minimum rate of pay where appropriate. However, the percentage increases quoted, are significantly above the cost-of-living formula. used by Government generally to fund other annual cost of living increases.

In practical terms, this significant differential is likely to the lead to the following consequences:-

In this context, it may be appropriate for Practices to review and reconsider existing recruitment strategies, and to reflect on how they might deal with in-house tensions between living wage / non-living wage staff groups.

The LMC HR service are available and happy to support Practices in terms of managing these challenges.