Immigration News: UK Minimum Wage 2025 Update for Employers

Immigration News: UK Minimum Wage 2025 Update for Employers

27 Mar 2025

By Md Lutfur Rahman, FCILEx

Category: Immigration News

01:16 pm

Table of Contents

1. Introduction

The UK government has announced an increase in the National Minimum Wage (NMW) and National Living Wage (NLW), effective from 1 April 2025. Employers sponsoring migrant workers must ensure salaries meet these updated rates—failure to comply risks sponsor licence suspension or revocation.

 

 

2. UK Minimum Wage Rates: April 2024 vs. April 2025

 

Age Group

April 2024
(Current Rate)

April 2025
(New Rate)

21 and over (NLW)

£11.44

£12.21

18 to 20

£8.60

£10.00

Under 18

£6.40

£7.55

Apprentices

£6.40

£7.55

 

Key Takeaways:

● Largest Increase: Under 18s & apprentices (+18%).

● National Living Wage (21+): Now £12.21/hour (up from £11.44).

● Employer Action Required: Adjust salaries before 1 April 2025 to avoid compliance risks.

 

Example 1:

​​● Weekly Hours: 37.5

● Suppose Current Salary: £23,200/year

● New Minimum Required (2025):

○ 37.5 hrs × 52 weeks × £12.21 = £23,809.50/year

○ Result: £23,200 is below the new threshold. Salary must increase.

 

Example 2:

​​● Weekly Hours: 39

● New Minimum Required (2025):

○ 39 hrs × 52 weeks × £12.21 = £24,749.88/year

 

⚠️ Risk of Non-Compliance:

● Sponsor licence suspension/revocation

● Home Office compliance audits

● Reputational damage & legal penalties

 

 

3. Why This is Important for Employers

For employers holding a sponsor licence, this update is not just a compliance formality — it's a critical legal obligation. The salary stated on the Certificate of Sponsorship (CoS) must meet or exceed the minimum wage requirements based on actual working hours.

 

If your employees' working hours and salary do not align with the new minimum wage thresholds, your sponsor licence could face suspension or even revocation. 

 

Even if the CoS was issued before these changes, employers are responsible for adjusting salaries in accordance with the updated rates.

 

 

4. How Can Work Permit Cloud Help?

Ensure seamless compliance with our UKVI-compliant HR softwareOur platform helps manage employee records including performance review, contract management tools, and absence tracking.

 

Don’t risk your sponsor licencebook a free consultation or explore our compliant HR software today!

 

 

5. Conclusion

With the new wage rates kicking in from April 2025, staying compliant isn’t optional — it’s essential. Whether you're hiring new talent or reviewing existing employees, ensure your salary structures align with the updated minimum thresholds. 

 

Don’t wait for a compliance issue to surface — act now and stay ahead with WorkPermitCloud.

Frequently Asked Questions

Legal Disclaimer

The content of this article is intended for general informational purposes only and does not constitute legal advice. Every reasonable effort has been made to ensure the accuracy of the information at the time of publication; however, laws and regulations are subject to change, and interpretations may vary. The information presented is valid only as of the date of publication. WorkPermitCloud Ltd makes no warranties, express or implied, regarding the completeness or accuracy of the information provided. We accept no liability for any loss or damage arising from reliance on this content. For personalised legal advice tailored to your circumstances, we recommend consulting a qualified legal professional.

CONTACT AN ADVISER

advisor-image

Md Lutfur Rahman, FCILEx

Immigration Advisor and Commissioner of Oath

Managing Director

Work Permit Cloud Limited

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