New Laws Coming into Force in 2025: Wales to See Significant Changes
As we usher in the new year, a series of new laws are set to come into effect in Wales and across the UK, impacting various aspects of daily life from food consumption to transportation and even income. These changes, some specific to Wales and others encompassing the entirety of the UK, will also entail reforms outside the UK that will influence individuals in Britain irrespective of their residency location.
In the realm of wages, significant adjustments are on the horizon. By April 2025, the National Living Wage and minimum hourly wage for apprentices will increase, with the minimum earnings for 18 to 20-year-olds experiencing a notable rise of £1.40 to reach a new high of £10 per hour. Plans are reportedly in motion to eventually establish a single rate of minimum wage and national living wage for adults, gradually eliminating the age differentials.
Moreover, revisions to parental leave and sick pay rates are scheduled to take effect in April 2025, with statutory maternity pay, statutory paternity pay, statutory adoption pay, statutory shared parental pay, and statutory parental bereavement pay all seeing an increase to £187.18 per week. Similarly, statutory sick pay will witness a new rate of £118.75 per week from the same month.
Employers will encounter adjustments in national insurance rates from April 2025, with a 1.2% higher rate of NI and a reduction in the threshold for the tax’s applicability, dropping from £9,100 per year to £5,000. Small businesses will also benefit from an increment in Employment Allowance, enabling them to diminish their NI liability from £5,000 to £10,500.
Additional Learning Needs (ALN) legislation in Wales, which has been gradually phased in over three years, will see its full implementation in September 2025. This legislation aims to create a unified system to support children and young people aged 0 to 25 in Wales with ALN, encompassing around one in five school-age children. The ALN Act establishes a comprehensive legislative framework for aiding individuals with ALN.
Furthermore, efforts to curb childhood obesity will materialise through the banning of junk food advertisements on TV before the watershed starting October 2025. While this legislation is introduced by the UK Government, its implications extend across the UK, aligning with Wales’ own restrictions on junk food rolled out in 2024 and aimed for full implementation by 2025.
In a bid to combat litter and plastic pollution, a prohibition on the supply of single-use vapes will be in effect in Wales from June 1, 2025, aligning with concurrent measures in England and Scotland under the Tobacco and Vapes Bill. The Welsh Government’s collaborative approach with other UK nations seeks to harmonise compliance and enforcement efforts.
Moreover, significant changes in the transportation sector are expected, with the potential introduction of tax bills for electric vehicle (EV) drivers as the Vehicle Excise Duty exemption for EVs concludes on April 1, 2025. Meanwhile, reforms to the leasehold system will grant leaseholders enhanced rights and control over their properties, marking a step towards dismantling the outdated leasehold system.
Additionally, British citizens with permanent residences outside the UK will be subject to a new tax regime in 2025, intended to eliminate tax evasion practices exploiting lower tax jurisdictions. Meanwhile, plans to reshape railways across the UK, including re-nationalising certain operators, will undergo parliamentary deliberation, impacting transportation infrastructure and services.
Furthermore, travelers from the UK may need to be aware of the new ETIAS permit when traversing the Schengen zone in Europe, while a corresponding ETA scheme for visitors to the UK will be fully implemented by 2025. These regulatory changes are aimed at enhancing security protocols at borders and streamlining travel processes for individuals entering and exiting the UK.
Lastly, the Historic Environment (Wales) Act 2023 will fortify preservation measures for scheduled monuments, listed buildings, conservation areas, and historic parks in Wales, with full enactment anticipated by November 2025. As we anticipate these forthcoming legislative modifications, the evolution of laws and regulations is poised to shape a new landscape for residents of Wales and the broader UK in 2025 and beyond.