The London Living Wage
The London Living Wage (LLW) is based on the principle that workers should earn a living to provide for themselves and their families.
Workers who are paid the London Living Wage are more financially secure - they are more able to pay rent, buy food and pay taxes - as it's designed to better reflect the cost of living.
The London Living Wage can benefit employers as well as employees. Employers report benefits such as:
- higher staff morale
- improved rates of retention
- lower rates of sickness and absence
- reputational gain
You can find out more information on the benefits of paying a real Living Wage from the Living Wage Foundation.
The London Living Wage rate
The Living Wage Employer Mark and Service Provider Recognition Scheme is an accreditation for businesses that wish to pay the voluntary Living Wage.
The 2023 – 2024 Living Wage rate is:
- £13.15 per hour in London
- £12.00 per hour across the UK
The Living Wage rate is calculated independently by the Resolution Foundation and is overseen by the Living Wage Commission.
The rate is updated annually based on changes to the cost of living. The new rate is announced in November and accredited businesses have until the following April to implement the new rate.
The real Living Wage is:
- based on the actual cost of living
- updated annually in November
- voluntary for both employers and staff (unlike the statutory National Living Wage)
Become a Living Wage Employer
To qualify as a Living Wage Employer, you'll need to:
- pay the Living Wage to all directly employed staff
- ensure contractors and sub-contractors (who provide regular services to your organisation on your premises) pay the Living Wage to staff
The Living Wage Foundation offers support and advice on becoming an accredited Living Wage Employer. Southwark Council also offers a grant to cover the costs of new accreditation for smaller employers.
Page last updated: 20 November 2023
