National Living Wage 2026/27: what a kitchen staff hour really costs
From 1 April 2026 the National Living Wage is £12.71 an hour for workers aged 21 and over, £10.85 for 18 to 20 year olds and £8.00 for under-18s and apprentices (GOV.UK National Minimum Wage and National Living Wage rates). Add employer National Insurance, the 3% workplace pension and 5.6 weeks' paid holiday and a full-time cook on £12.71 costs about £16.28 for every hour actually worked, 28% more than the headline rate.
The 2026/27 rates
| Age or type | From 1 April 2026 | April 2025 to March 2026 | Rise |
|---|---|---|---|
| 21 and over | £12.71 | £12.21 | 4.1% |
| 18 to 20 | £10.85 | £10.00 | 8.5% |
| Under 18 | £8.00 | £7.55 | 6.0% |
| Apprentice | £8.00 | £7.55 | 6.0% |
Source: GOV.UK National Minimum Wage and National Living Wage rates. The rates change on 1 April each year.
What an hour actually costs the business
| Example | Pay a year | Employer NI | Pension | Cost per hour worked |
|---|---|---|---|---|
| Full-time cook, 38 h a week, £12.71, aged 22+ | £25,114.96 | £3,017.24 | £566.25 | £16.28 |
| Part-time KP, 20 h a week, £12.71, aged 22+ | £13,218.40 | £1,232.76 | £209.35 | £15.80 |
| Full-time commis, 38 h a week, £10.85, aged 18 to 20 | £21,439.60 | £0.00 | £0.00 | £12.16 |
Method: pay = rate × weekly hours × 52. Employer NI = 15% of pay above £5,000 a year (GOV.UK rates and thresholds for employers 2026 to 2027); nil for employees under 21 below the upper secondary threshold. Pension = 3% employer minimum on earnings between £6,240 and £50,270 for anyone earning over £10,000 and aged 22 or over (GOV.UK workplace pensions); 18 to 20 year olds are not auto-enrolled, so none is shown. Cost per hour worked = (pay + NI + pension) ÷ (weekly hours × 46.4 weeks), because 5.6 of the 52 paid weeks are holiday (GOV.UK holiday entitlement). Employment Allowance, if you claim it, cuts the NI bill; this table leaves it out. Same sums as the labour cost calculator.
What it does to a plate
ChefSums' costed dishes add hands-on staff time at £12.71 an hour plus 25% on-cost. For a typical menu dish, staff time is a large share of the real cost; for some simple café dishes it costs more than the ingredients. The figures for every dish are in the UK dish cost index.
Questions chefs ask
What is the National Living Wage from April 2026?
£12.71 an hour for workers aged 21 and over. 18 to 20 year olds get at least £10.85, and under-18s and apprentices £8.00 (GOV.UK).
How much does a £12.71 member of staff really cost?
About £16.28 per hour worked for a 38-hour full-timer aged 22 or over, once employer NI, 3% pension and holiday are included; about £15.80 for a 20-hour part-timer.
Do apprentices get the apprentice rate all the way through?
Only if they are under 19 or in the first year of the apprenticeship; after that they are due the rate for their age (GOV.UK National Minimum Wage rates).
Check your own rota with the labour cost calculator and read how to calculate labour cost percentage.
Sources
- GOV.UK National Minimum Wage and National Living Wage rates
- GOV.UK rates and thresholds for employers 2026 to 2027
- GOV.UK workplace pensions
- GOV.UK holiday entitlement
More chef questions: Food cost % by venue type · Menu price multiplier table · Pub food and drink GP mix · Portions per kg · Cooked vs raw weight · Kitchen energy cost per dish · Sunday roast cost per cover · Prep par and shelf life · UK wholesale staple prices
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