London Daily

Focus on the big picture.
Monday, Jul 21, 2025

More than 5,000,000 Brits are still being paid less than the 'poverty wage'

More than 5,000,000 Brits are still being paid less than the 'poverty wage'

The number of workers paid ‘poverty wages’ has fallen to a seven year low, new stats suggest.
Research by KPMG found that around a fifth of UK jobs pay below the voluntary ‘real’ living wage of £9-an-hour, down from 22% in 2018.

That amounts to a fall of 560,000 workers, meaning there is still an estimated 5.19 million people paid less than the voluntary figure.

KPMG suggest the number peaked at 5.75 million last year.

A growing number of firms have been signing up to pay the rate, which is weighted to £10.55 in London, and different to the compulsory national living wage, of £8.21 an hour for over 25s.

The study indicated that around 38% of part-time jobs pay less than the real living wage, compared to only 12% for full-time employees.

It also noted that around one in four women earn less than the real living wage, compared with 15% of men.

KPMG’s James Stewart said the Brexit impasse had less employers to take action to motivate their workforce.

He explained: ‘Over the coming period of uncertainty productivity will be key and we know that the real living wage is an effective driver. What’s good for our workers is good for business too and there is a real opportunity for many to look at the remuneration of their staff in terms of overall benefit to their business as well as the bottom-line.’

Mr Stewart added: ‘We must ensure that part-time workers are not left behind – as these figures show well over a third are not benefiting from the real living wage.

‘There are also far too many women who are not benefiting from these changes and over the coming year we must address this and the regional disparities which still exist.’

A report in August suggested pay for middle income workers’ pay has fallen in real terms by 1% since 2010, while the lowest earners have seen a 5% rise due to the national living wage increase.

But in-work poverty has been slammed as the ‘problem of our times’, with some 4 million thought to be caught in a low pay trap, according to figures released in May.

But Katherine Chapman, director of the Living Wage Foundation, said: ‘We know the campaign for a real living wage has had a huge impact in tackling in-work poverty.

‘Over the last year we’ve seen more and more responsible organisations recognise that a real living wage is not only good for workers and their families, but it also makes good business sense.’

The government said in September that it would raise the national living wage to £10.50 by 2024.
Newsletter

Related Articles

0:00
0:00
Close
Man Dies After Being Pulled Into MRI Machine Due to Metal Chain in New York Clinic
NVIDIA Achieves $4 Trillion Valuation Amid AI Demand
US Revokes Visas of Brazilian Corrupted Judges Amid Fake Bolsonaro Investigation
U.S. Congress Approves Rescissions Act Cutting Federal Funding for NPR and PBS
North Korea Restricts Foreign Tourist Access to New Seaside Resort
Brazil's Supreme Court Imposes Radical Restrictions on Former President Bolsonaro
Centrist Criticism of von der Leyen Resurfaces as she Survives EU Confidence Vote
Judge Criticizes DOJ Over Secrecy in Dropping Charges Against Gang Leader
Apple Closes $16.5 Billion Tax Dispute With Ireland
Von der Leyen Faces Setback Over €2 Trillion EU Budget Proposal
UK and Germany Collaborate on Global Military Equipment Sales
Trump Plans Over 10% Tariffs on African and Caribbean Nations
Flying Taxi CEO Reclaims Billionaire Status After Stock Surge
Epstein Files Deepen Republican Party Divide
Zuckerberg Faces $8 Billion Privacy Lawsuit From Meta Shareholders
FIFA Pressured to Rethink World Cup Calendar Due to Climate Change
SpaceX Nears $400 Billion Valuation With New Share Sale
Microsoft, US Lab to Use AI for Faster Nuclear Plant Licensing
Trump Walks Back Talk of Firing Fed Chair Jerome Powell
Zelensky Reshuffles Cabinet to Win Support at Home and in Washington
"Can You Hit Moscow?" Trump Asked Zelensky To Make Putin "Feel The Pain"
Irish Tech Worker Detained 100 days by US Authorities for Overstaying Visa
Dimon Warns on Fed Independence as Trump Administration Eyes Powell’s Succession
Church of England Removes 1991 Sexuality Guidelines from Clergy Selection
Superman Franchise Achieves Success with Latest Release
Hungary's Viktor Orban Rejects Agreements on Illegal Migration
Jeff Bezos Considers Purchasing Condé Nast as a Wedding Gift
Ghislaine Maxwell Says She’s Ready to Testify Before Congress on Epstein’s Criminal Empire
Bal des Pompiers: A Celebration of Community and Firefighter Culture in France
FBI Chief Kash Patel Denies Resignation Speculations Amid Epstein List Controversy
Air India Pilot’s Mental Health Records Under Scrutiny
Google Secures Windsurf AI Coding Team in $2.4 Billion Licence Deal
Jamie Dimon Warns Europe Is Losing Global Competitiveness and Flags Market Complacency
South African Police Minister Suspended Amid Organised Crime Allegations
Nvidia CEO Claims Chinese Military Reluctance to Use US AI Technology
Hong Kong Advances Digital Asset Strategy to Address Economic Challenges
Australia Rules Out Pre‑commitment of Troops, Reinforces Defence Posture Amid US‑China Tensions
Martha Wells Says Humanity Still Far from True Artificial Intelligence
Nvidia Becomes World’s First Four‑Trillion‑Dollar Company Amid AI Boom
U.S. Resumes Deportations to Third Countries After Supreme Court Ruling
Excavation Begins at Site of Mass Grave for Children at Former Irish Institution
Iranian President Reportedly Injured During Israeli Strike on Secret Facility
EU Delays Retaliatory Tariffs Amid New U.S. Threats on Imports
Trump Defends Attorney General Pam Bondi Amid Epstein Memo Backlash
Renault Shares Drop as CEO Luca de Meo Announces Departure Amid Reports of Move to Kering
Senior Aides for King Charles and Prince Harry Hold Secret Peace Summit
Anti‑Semitism ‘Normalised’ in Middle‑Class Britain, Says Commission Co‑Chair
King Charles Meets David Beckham at Chelsea Flower Show
If the Department is Really About Justice: Ghislaine Maxwell Should Be Freed Now
NYC Candidate Zohran Mamdani’s ‘Antifada’ Remarks Spark National Debate on Political Language and Economic Policy
×