One in Five Earning Less Than Living Wage

October 29, 2012

5 million UK workers are being paid less than the Living Wage, reports accounting firm KPMG.


The Living Wage currently stands at £7.20 per hour (£8.30 in London) and has been calculated to be the minimum someone can live on to have a basic standard of living.

Up to 85% of waiters and 90% of bar staff are paid less than this figure and around 780,000 retail assistants are earning below this amount according to the research.

The Living Wage is a voluntary figure and different from the national minimum wage (£6.19 per hour for over 21s) which is set in law.

“Times are difficult for many people, but of course those on the lowest pay are suffering the most,” said Marianne Fallon, head of corporate affairs at KPMG, which has itself signed up to pay the Living Wage.

“Paying a Living Wage makes a huge difference to the individuals and their families and yet does not actually cost an employer much more.

“Tackling in-work poverty is also vital if we are to enable more people to improve their life prospects and increase social mobility in this country.”