New remit for low pay commission

The Government has set out the new remit for the Low Pay Commission (LPC) when recommending the National Living Wage (NLW) and National Minimum Wage (NMW) rates that will apply from April 2026. This comes as the Government takes the next steps to deliver its manifesto pledges to remove the “discriminatory” age bands and create a single adult rate. This new remit follows a consultation by the LPC on future minimum wage rates that closed on 30 June 2025.

What is the National Living Wage?

The LPC will consult with employers on narrowing the gap between the 18–20-year-old rate of the NMW and the NLW (currently payable to those aged 21 and over) and will put forward recommendations on moving to a single adult rate in the future.

The Government says it has put the cost of living at the heart of the LPC’s new remit. The cost of living was first included in the LPC’s remit last year, benefitting around three million workers.

Baroness Philippa Stroud, Chair of the LPC, said: “We are pleased to receive our remit from the Government. Already, since the beginning of the year, we have spent significant time speaking with workers and employers, to understand the pressures in the economy and the effects of the most recent increases in the minimum wage. We have held a successful call for evidence and received detailed submissions from all sides.”

The LPC will recommend the new rates for April 2026 to the Government in October, which are usually accepted by the Government.

What’s the difference between the real Living Wage and the National Living Wage?

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New remit published for Low Pay Commission

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