Independent Living Wage rate rises by up to 4%

Living Wage
The Living Wage set by an independent foundation has seen a rise.

The independently-verified living wage has increased by 4 percent in London over the last year, according to data collated by both the Resolution Foundation and the Living Wage Commission.

The voluntary living wage, which counts Curzon cinemas and the British Library as participants, has risen 35p an hour to £9.75. The rate for the remainder of the UK has increased by 2.4 percent to £8.45 an hour, from £8.25, in accordance with the Foundation’s findings. Both of these recently released rates are an a significant increase upon the Government introduced “National Living Wage” of £7.20 an hour.

Katherine Chapman, director of the Living Wage Foundation, commented:

“Today’s new living wage rates bring a welcome pay rise to thousands of workers across the UK. One in five people earn less than the wage they need to get by. That’s why it’s more important than ever for leading employers to join the growing movement of businesses and organisations that are going further than the government minimum and making sure their employees earn enough to cover the cost of living.”

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The Mayor of London, Sadiq Khan, also welcomed the encouraging development. At an event at the British Library, he stated:

“Paying the London living wage is not just the right and moral thing to do, it makes good business sense too. As many employers already accredited know, the benefits are clear – including increased productivity and reduced staff turnover,” he said.

The announcement follows the release of a similarly positive set of wage statistics from the Office for National Statistics (ONS) last week. According to the figures, wages in the UK increased by 2.2 percent last year to £539 a week, from £527 in 2015, with many seeing the benefits from the introduction of the new national living wage introduced by the chancellor in April of 2016. Moreover, the data also revealed that the gender pay gap is also at the narrowest level on record.

The Foundation counts around 3,000 employers as part of the voluntary scheme, which include recent addition Everton Football Club, as well as Ikea and Lloyds Banking Group.