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Understanding the Voluntary Living Wage

Information on the Voluntary Living Wage and what it means for your pay.


Factsheet

The University of Bath has been an accredited Voluntary Living Wage (VLW) employer since 2019 and is committed to ensuring that this rate is the minimum rate of pay that our staff receive.

The VLW is an independently calculated hourly rate of pay that is based on the cost of living. It is calculated each year and is usually announced by the Living Wage Foundation in October or November.

In October 2025, the Living Wage Foundation announced the rate will increase to £13.45 per hour. This rate was implemented by the University from 1 April 2026.

To ensure that we pay the VLW rate and continue to recognise the difference in responsibilities between roles at different grades, the University applies a pensionable VLW supplement to some spine points on the pay scale.

The spine points that receive the VLW supplement are reviewed when the national pay award is applied, normally each August.

With effect from 1 August 2026 a supplement will remain in place for points 8 to 14 to increase their rates of pay to the following:

Point Grade (NPP) Grade (ECP) Annual salary £ (effective 1 Apr 2026) Hourly rate £ (effective 1 Apr 2026)
14 4 3 £26,600 £14.01
13 4 3 £26,301 £13.86
12 4 3 £26,301 £13.86
11 3 £25,912 £13.65
10 3 2 £25,912 £13.65
9 3 2 £25,912 £13.65
8 2 £25,529 £13.45

What happens to the VLW supplement when national pay rises are applied?

The VLW and the national pay award are applied at different times of the year.

VLW

This is applied earlier in the year than the national pay award, usually on 1 April. This means:

  • On 1 April 2026, the University will apply a supplement to increase the pay for spine point 8 to match the VLW rate.
  • Those on Grades 2, 3 and 4 (spine points 9–15) received a supplement to increase their rates of pay. This is to ensure they are paid more than the VLW and to recognise the difference in responsibilities at different grades.
  • The new rates of pay for these spine points, including the VLW supplement, are shown in the table above.

The national pay award

This is normally applied each year on 1 August. This sets new pay rates for each spine point on the University of Bath pay and grading structure.

  • The pay award is negotiated at a national level by UCEA on behalf of universities with the five recognised trade unions in the Higher Education sector (UCU, UNITE, UNISON, GMB, and EIS).
  • When the rate of pay for a spine point changes employees will always receive which is ever is higher, the salary for their spine point (University of Bath pay and grading structure or the adjusted rate of pay including the VLW supplement.

If the salary for your spine point remains lower than the (spine point) rate set by the national pay award, you will see a supplement added to your payslip to increase the rate of pay to that detailed in the table above.

If the salary for the spine point becomes higher, the supplement will stop because it’s no longer needed.

From 1 August 2026:

  • The national pay award increased the rate of pay for spine point 15. This new rate is higher than the adjusted rate (including the supplement). Therefore, there will no longer be a supplement applied to this spine point.
  • For spine points 8 to 14, the adjusted pay rate (including the supplement) remains higher than the new national pay award rates. Therefore, these spine points will continue to receive a supplement.

Contact details

Please get in touch if you have any questions regarding the VLW or the national pay award.


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