National minimum wage – timeline

23 September 1997
Government set out terms of reference for the Low Pay Commission.

18 June 1998
Government published the first report of the Low Pay Commission.

31 July 1998
National Minimum Wage Bill became an Act.

11 November 1998
Government put the Low Pay Commission on statutory basis and gave it new terms of reference for its future work and asked it to report by December 1999.

4 March 1999
National Minimum Wage Regulations, which give effect to the legislation, approved by Parliament.

1 April 1999
National Minimum Wage took effect at £3.60 per hour for the main rate and £3.00 per hour for the youth rate.

1 June 2000
Youth rate increased from £3.00 to £3.20 per hour.

1 October 2000
Main rate increased from £3.60 to £3.70 per hour.

1 October 2001
Main rate increased from £3.70 to £4.10 and youth rate increased from £3.20 to £3.50.

1 October 2002
Main rate increased to £4.20 and youth rate to £3.60.

1 October 2003
Main rate increased to £4.50 and youth rate to £3.80.

1 October 2004
Main rate increased to £4.85 and youth rate to £4.10.

1 October 2005
Main rate increased to £5.05 and youth rate to £4.25.

1 October 2006
Main rate will increase to £5.35 an hour from 1 October 2006.
The rate for young workers aged 18 to 21 will increase to £4.45 an hour.
The rate for workers aged 16-17 will rise from £3 to £3.30 an hour.
The accommodation offset will rise to £4.15 a day

Based on DTI press notice of 19 March 2003 with additions.