Responding to the Living Wage Foundation’s announcement of a new £13.85 London Living Wage hourly rate, Muniya Barua, Deputy Chief Executive at BusinessLDN, said:

“This above inflation increase in the London Living Wage will prove challenging for firms at a time when they are facing significant cost pressures, with next week’s Budget likely to see further increases in taxes on jobs and business.

“For those that can afford to do so, there are clear business benefits to paying the London Living Wage, especially at a time of skills shortages.

“Not only does it help the lowest paid in society but it also boosts retention and recruitment of talent, giving firms a competitive edge over their rivals.”