Workers in the North East set for pay rise with new National Minimum Wage rates

Newcastle area-Northeast England.

Up to 160,000 workers in the North East are set to benefit from a significant pay rise as new National Minimum Wage and National Living Wage rates take effect from today, Tuesday 1 April.

The increase is part of the Government’s wider efforts to improve living standards and boost economic growth through its Plan for Change.

Full-time workers on the National Living Wage (21+) will see a real-terms pay increase of £1,400 per year, putting more money into the pockets of low-paid workers and improving financial stability for many families in the region.

Employment Rights Minister Justin Madders said: "Hard work deserves to be rewarded, and this Government’s Plan to Make Work Pay is making that a reality.

We’re raising the floor for workers from Middlesbrough to Berwick, putting more money into their pockets and delivering the increased living standards needed to kickstart economic growth across the North East."

"Workers in the North East have earned this pay rise, and it's important they ensure they are eligible to benefit," said Madders.

The uplift is designed to ease the financial pressures facing workers, supporting both personal finances and broader economic growth.

Sunderland area.

The changes, which include substantial increases in wages for those earning the legal minimum, are expected to positively impact the wider workforce as well, potentially leading to wage increases for those already earning above the minimum rate.

In the meantime, the adjustments will particularly benefit sectors reliant on the lowest-paid workers and contribute to a stronger local economy.

The full increases, which is effective 1 April 2025, are as follows:

• National Living Wage (21+): A 6.7% increase, from £11.44 to £12.21 per hour.

• National Minimum Wage (18-20): A record increase of 16.2%, from £8.60 to £10 per hour.

• National Minimum Wage (under 18): An 18% increase, to £7.55 per hour.

• Apprentice Rate: An 18% increase, from £6.40 to £7.55 per hour.

• Accommodation Offset: £10.66 per day.

The Government has made it clear that it is committed to ensuring workers receive fair pay.

This year marks the first time the Low Pay Commission has been instructed to include the cost of living and inflation in its assessment of wage rates. The introduction of these new rates aligns with the broader goals of the Plan to Make Work Pay.

In addition to these wage increases, the forthcoming Employment Rights Bill will further support low-paid workers, providing an additional £600 per year for some of the region's most vulnerable workers.

Those seeking to confirm their eligibility can visit the Government's official website at gov.uk/checkyourpay for more information.

The wage increase represents a crucial step forward for working families in the North East, improving both their financial stability and contributing to broader economic growth in the region.