My employer is paying me below minimum wage, what can I do?

The National Minimum Wage Act 1998 and the National Living Wage (introduced in 2016 for workers aged 23 and over) set legally binding minimum hourly rates that all workers — including zero-hours, part-time, agency, and casual workers — are entitled to receive.

Current rates (from April 2025): National Living Wage (21+): £12.21 per hour; 18–20: £10.00 per hour; 16–17 and apprentices: £7.55 per hour. These rates are updated annually each April.

If you are being paid below these rates, your employer is committing a criminal offence. Your options are:

(1) Complain directly to HMRC's National Minimum Wage team using their online tool. HMRC can investigate, require back pay, and impose financial penalties on the employer of up to 200% of the underpayment (minimum £100, maximum £20,000 per worker).

(2) Bring an Employment Tribunal claim for unlawful deduction from wages under the Employment Rights Act 1996. You can claim back up to two years of underpayments. No minimum employment period is required.

(3) Raise a formal grievance with your employer in writing, specifying the underpayment and asking for it to be corrected.

Deductions from wages that bring pay below minimum wage are also unlawful — for example, making workers pay for uniforms, equipment, or training that reduces their effective hourly rate below the minimum. Keep detailed records of all hours worked and payments received.