Lidl UK workforce to become best-paid employees in UK supermarket sector

One in five Brits trapped in working poverty

150000 to pick up rise in living wage

As it is calculated by the real cost of living, the "real" living wage is consistently higher in London than it is elsewhere in the United Kingdom - great news for anyone paying a grand a month for a cupboard in Zone 4.

From next year, accredited living wage employers in Scotland will increase their hour rate by 30p to £8.75 an hour.

"The new living wage rates will bring relief for thousands of United Kingdom workers being squeezed by stagnant wages and rising inflation".

In the North West 266 employers have committed to paying staff more as the rate rises.

The pay rate will rise 3.6% to £8.75 per hour around the United Kingdom and 4.6% to £10.20 in London, giving a wages boost to workers at companies which have adopted the measure, including Google and IKEA.

The living wage increase comes a day after a KPMG report revealed that one in five Britons were earning below the real living wage, meaning there are as many as 5.5 million workers who are struggling to escape in-work poverty.

Unlike the minimum wage, the "real" living wage is updated each year and calculated based on the basic cost of living in the UK.

It's important to note that the "real" living wage is different from the government's national minimum wage, now known as the National Living Wage (if you're over 25).

Lidl staff not impacted by the change already receive the living wage.

Vector's Group Chief Executive Simon Mackenzie said pledging to pay their workers $20.20 and above was a way to "help address inequality of living standards". But more companies need to sign up.

They are based on the cost of living in the United Kingdom and London. Profits in the United Kingdom are at record levels, yet many bosses are still refusing to invest in their staff.

John Paul Scally, Managing Director at Lidl Ireland and Northern Ireland said; "At Lidl we are in a fortunate position that the last few years have seen our business go from strength to strength in Northern Ireland".

These rates come into force today and the 3,600 firms signed up to the Living Wage Foundation's voluntary scheme must start paying the higher rates within six months.

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