From April 2026, the NMW rates will increase (see latest and new rates here: National Minimum Wage and National Living Wage rates - GOV.UK)

Complying with NMW is not always straightforward and below we highlight some factors that my impact whether someone receives the correct pay.

 

Apprentices – NMW regulations can be complex when it comes to apprentices, and businesses can get certain tax reliefs for engaging them. Further information on the apprenticeship grants can be found at the following websites: Employing an apprentice: Get funding for apprenticeship training - GOV.UK

Staff uniforms – Requiring staff to wear a uniform may influence NMW compliance. Understand how uniforms can affect NMW here: Claim tax relief for your job expenses: Uniforms, work clothing and tools - GOV.UK

Salary sacrifice – it’s a common benefit these days that reduces NIC costs for both employers and employees, but some salary sacrifice arrangements can result in underpayment of NMW. Find out how to manage salary sacrifice here: Salary sacrifice for employers - GOV.UK

Travel time - travelling for the purposes of work is generally treated as working time for NMW purposes. Make sure you are staying compliant. HMRC guidance on this can be found here: travelling time - HMRC internal manual - GOV.UK

Volunteers - care needs to be taken that HMRC do not re-categorise a volunteer as an employee or worker despite the contrary intentions of both parties. Further guidance on this can be found here: Entitlement to NMW: volunteers - HMRC internal manual - GOV.UK

 

---

Not yet an NFU Employment Service member? Join today and take advantage of a host of guidance to support you navigating the complex world of employment law.

You'll also receive access to a wide range of member benefits – with discounts ranging from cars to health insurance.

For more information, call us on 0370 840 0234 or email us at [email protected]