The United Kingdom’s National Minimum Wage first took effect in 1999.
The National Minimum Wage Act 1998 created a legal wage floor across the United Kingdom. The first rates began on 1 April 1999 and varied by age, with a separate rate for younger workers. The policy followed extensive debate about whether a statutory wage floor would reduce poverty or cause job losses.
The Low Pay Commission was established to advise the government on appropriate rates. Its membership includes representatives with experience of employers, workers, and independent economic analysis. The commission’s recommendations have helped shape later increases.
The National Minimum Wage is distinct from the National Living Wage. The latter was introduced in 2016 as a higher minimum for older workers, while the original 1999 system covered several age bands. The UK’s statutory rates have therefore changed both in level and in structure since the first launch.