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CQ Studio

Labour costs

Minimum wage goes to £13.21. Price it into next year's jobs

If you are quoting work for spring 2027, your labour cost is already rising.

By the Contractor Quote Studio editorial desk · 11 November 2026 · 2 min read

Two site managers in hard hats and hi-vis reviewing plans on a tablet
Photo: Unsplash

The short version

  • The 21-and-over rate rises from £12.71 to £13.21.
  • Apprentices move from £8 to £8.31.
  • Employer NI is 15% above £5,000 a year.

From April 2027, the National Minimum Wage rate for workers aged 21 and over rises from £12.71 to £13.21. The 18 to 20 rate rises from £10.85 to £11.27. The apprentice rate moves from £8 to £8.31.1

GroupFrom April 2026From April 2027
21 and over£12.71£13.21
18 to 20£10.85£11.27
Under 18£8.00£8.31
Apprentice£8.00£8.31

The cost on top of the wage

In 2026 to 2027, employer National Insurance is 15% on earnings above £5,000 a year. Employment Allowance can offset up to £10,500 of that bill if you qualify.2

See what one employee really costs with our employee cost calculator.

Sources

  1. National Minimum Wage rates, GOV.UK. Accessed 11 November 2026.
  2. Rates and thresholds for employers 2026 to 2027, HMRC. Accessed 11 November 2026.

General information only. This is not legal, insurance or financial advice. Your own policy wording decides what is covered.