16 October 2025
The Living Wage Foundation is a body that advocates for a living wage that reflects the true cost of living, different form the UK National Living Wage, it is a voluntary accreditation employers can opt into.
Each year they produce the “Life on Low Pay Report” to highlight the impact of low wages and the 2025 report is now available. The report highlights the struggles of low paid workers, it can also bring to the forefront some of the additional things payroll teams and employers can do to help employees, such as workplace savings schemes, with 45% of surveyed individuals saying they would not be able to afford a £200 bill.
Other key takeaways of note are:
- 2 in 5 (41 per cent) report that their level of pay negatively affects their overall quality of life
- 2 in 5 (42 per cent) report that their level of pay negatively affects their mental health, and 1 in 3 (34 per cent) report that it negatively affects their physical health
- Almost 3 in 10 (29 per cent) report that their level of pay has a negative impact on their relationships with close friends and family.
These findings could impact the work employees do and lead to further problems for employers, on top of the serious impacts to the individuals. It shows the need for robust support and assistance.
The full report explores the full data obtained from over 2,000 participants in a poll and additional focus groups.
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