More than 300,000 workers are set to receive a pay boost after the Real Living Wage, a voluntary rate paid by thousands of employers announced higher rates.
There is an increase of 20p, setting the new hourly rate to £9.90, except for London, where the pay rises to £11.05, seeing an increase of 40p.
This should not be confused with the National Living Wage, the obligatory minimum wage, currently at £8.91 an hour for anyone over 23.
The Living Wage Foundation, who set the rates have said almost 9,000 employers across the nation have signed up to the policy, with 3,000 employers joining in the pandemic.
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Who has joined?
The latest announcements from the foundation include firms like Taylor Wimpey, Persimmon Homes, Fujitsu, Getir and outsourcing firm Capita.
Other firms already part of the foundation include half of the FTSE 100, Everton Football Club, Aviva, Burberry and Nationwide.
The Real Living Wage foundation has said one in 13 people now work for an accredited Living Wage employer.
Workers who have been paid a higher rate than the National Living wage of £8.91, have benefited from more than £1.6 billion in extra wages since the campaign launched over 20 years ago.
The Foundation has also said that despite this rise, 4.8 million employees, or 1 in 6 workers, are still paid below the Living Age, and a majority of them are from racialised groups, 19.4% compared to 16.3% of white workers.
Katherine Chapman, Living Wage Foundation Director, 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.”