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April 2017 key income changes

National Minimum Wage increases

On 1 April 2017, the rates of the national minimum wage will increase, despite an increase in most rates on 1 October 2016.

This is so that the timing of the annual increase in the national living wage rate for workers aged 25 or over can align with the other national minimum wage rates.

The rates from 1 April 2017 are:

  • £7.50 per hour – 25 yrs old and over
  • £7.05 per hour – 21-24 yrs old
  • £5.60 per hour – 18-20 yrs old
  • £4.05 per hour – 16-17 yrs old
  • £3.50 for apprentices under 19 or 19 or over who are in the first year of apprenticeship.

Statutory family-related pay and sick pay rates increase

The weekly rate of statutory maternity, paternity, adoption and shared parental pay will increase to £140.98 for pay weeks commencing on or after 2 April 2017.

  • The weekly rate of statutory sick pay will increase to £89.35 from 6 April 2017.

Statutory redundancy pay increases

New limits on employment statutory redundancy pay come into force on 6 April 2017.

Employers that dismiss employees for redundancy must pay those with two years’ service an amount based on the employee’s weekly pay, length of service and age.

The weekly pay is subject to a maximum amount. From 6 April 2017, this is £489, increasing from £479

Posted: 3rd April 2017

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