People working for companies committed to paying the Living Wage are to benefit from the new rate announced today, based on rising living costs.

Backdated to 9 November 2021, the new Living Wage rates rise to £9.90 per hour across the UK – an increase of 40p – and to £11.05 in London – an increase of 20p.

Co-ordinated by the Living Wage Foundation, the real Living Wage is the only wage rate independently calculated based on rising living costs including fuel, energy, rent and food.

A full-time worker earning the new Living Wage would earn £1,930 a year more than a worker earning the current government minimum (NLW) which is currently at £8.91 per hour for workers aged 23 and over.

Since 2011, the Living Wage campaign has impacted over 300,000 employees, meaning that one in 13 workers now works for an accredited Living Wage employer.

The new rate was announced to tie in with Living Wage Week, from 15 to 21 November 2021, which is a UK-wide celebration of the almost 9,000 employers that have voluntarily committed to ensure employees and sub-contracted staff earn a real Living Wage.

Employers in the garment decoration sector include printer I Dress Myself, schoolwear specialist One+All and The Embroidery Barn.

Metro mayors in London and Greater Manchester have today announced major new commitments to create Living Wage City Regions which is set to encourage more employers to join the movement.

New research published today by the Living Wage Foundation has demonstrated the scale of low pay during the pandemic, with 4.8 million jobs (17.1% of employee jobs) still paying less than the real Living Wage.

Northern Ireland had the highest proportion of jobs paying below the Living Wage (21.3% or 236,000) and the south-east the lowest (12.8% or 533,000).

Employees from non-white backgrounds were more likely to be low paid, with 19.4% of these workers earning below the Living Wage compared to 16.3% of white workers.

Katherine Chapman, director of the Living Wage Foundation, said: “With living costs rising so rapidly, today’s new Living Wage rates will provide hundreds of thousands of workers and their families with greater security and stability.

“For the past 20 years the Living Wage movement has shaped the debate on low pay, showing what is possible when responsible employers step up and provide a wage that delivers dignity.

“Despite this, there are still millions trapped in working poverty, struggling to keep their heads above water – and these are people working in jobs that kept society going during the pandemic like social care workers and cleaners.

“We know that the Living Wage is good for businesses as well as workers, and as we rebuild our economy post pandemic, the real Living Wage must be at its heart.”