London Daily

Focus on the big picture.
Sunday, Aug 31, 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
Corporate America Cuts Middle Management as Bosses Take On Triple the Workload
Parents Sue OpenAI After Teen’s Death, Alleging ChatGPT Encouraged Suicide
Amazon Faces Lawsuit Over 'Buy' Label on Digital Streaming Content
Federal Reserve Independence Questioned Amid Trump’s Push to Reshape Central Bank
British Politics Faces Tumultuous Autumn After Summer of Rebellions and Rising Farage Momentum
US Appeals Court Rules Against Most Trump-Era Tariffs
UK Sought Broad Access to Apple Users’ Data, Court Filing Reveals
UK Bank Shares Dive Over Potential Tax on Sector
Germany’s Auto Industry Sheds 51,500 Jobs in First Half of 2025 Amid Deepening Crisis
Bruce Willis Relocated Due to Advanced Dementia
French and Korean Nuclear Majors Clash As EU Launches Foreign Subsidy Probe
EU Stands Firm on Digital Rules as Trump Warns of Retaliation
Getting Ready for the 3rd Time in Its History, Germany Approves Voluntary Military Service for Teenagers
Argentine President Javier Milei Evacuated After Stones Thrown During Campaign Event
Denmark Confronts U.S. Diplomat Over Covert Trump-Linked Influence in Greenland
Starmer Should Back Away from ECHR, Says Jack Straw
Trump Demands RICO Charges Against George Soros and Son for Funding Violent Protests
Taylor Swift Announces Engagement to NFL Star Travis Kelce
France May Need IMF Bailout, Warns Finance Minister
Chinese AI Chipmaker Cambricon Posts Record Profit as Beijing Pushes Pivot from Nvidia
After the Shock of Defeat, Iranians Yearn for Change
Ukraine Finally Allows Young Men Aged Eighteen to Twenty-Two to Leave the Country
The Porn Remains, Privacy Disappears: How Britain Broke the Internet in Ten Days
YouTube Altered Content by Artificial Intelligence – Without Permission
Welcome to The Definition of Insanity: Germany Edition
Just a reminder, this is Michael Jackson's daughter, Paris.
Spotify’s Strange Move: The Feature Nobody Asked For – Returns
Manhunt in Australia: Armed Anti-Government Suspect Kills Police Officers Sent to Arrest Him
China Launches World’s Most Powerful Neutrino Detector
How Beijing-Linked Networks Shape Elections in New York City
Ukrainian Refugee Iryna Zarutska Fled War To US, Stabbed To Death
Elon Musk Sues Apple and OpenAI Over Alleged App Store Monopoly
2 Australian Police Shot Dead In Encounter In Rural Victoria State
Vietnam Evacuates Hundreds of Thousands as Typhoon Kajiki Strikes; China’s Sanya Shuts Down
UK Government Delays Decision on China’s Proposed London Embassy Amid Concerns Over Redacted Plans
A 150-Year Tradition to Be Abolished? Uproar Over the Popular Central Park Attraction
A new faith called Robotheism claims artificial intelligence isn’t just smart but actually God itself
Deputy Prime Minister Angela Rayner Purchases Third Property Amid Housing Tax Reforms Debate
HSBC Switzerland Ends Relationships with Over 1,000 Clients from Saudi Arabia, Lebanon, Qatar, and Egypt
Sharia Law Made Legally Binding in Austria Despite Warnings Over 'Incompatible' Values
Italian Facebook Group Sharing Intimate Images Without Consent Shut Down Amid Police Investigation
Dutch Foreign Minister Resigns Amid Deadlock Over Israel Sanctions
Trump and Allies Send Messages of Support to Ukraine on Independence Day Amid Ongoing Conflict
China Reels as Telegram Chat Group Shares Hidden-Camera Footage of Women and Children
Sam Nicoresti becomes first transgender comedian to win Edinburgh Comedy Award
Builders uncover historic human remains in Lancashire house renovation
Australia Wants to Tax Your Empty Bedrooms
MotoGP Cameraman Narrowly Avoids Pedro Acosta Crash at Hungarian Grand Prix
FBI Investigates John Bolton Over Classified Documents in High-Profile Raids
Report reveals OpenAI pitched national ChatGPT Plus subscription to UK ministers
×