After essentials, more than 2m people are left with less that 10 PS a week.

According to the Living Wage Foundation, more than 2 million people have less than 10 PS a week left after they spend their earnings on necessities.

After paying bills, utilities, and transportation, the LWF found 42% of workers earn less than PS10, which is the “real” Living Wage, as recommended by the foundation.

It was found that around 3.1 million people could not afford a sudden PS850 cost, such as repairing a boiler or paying for car maintenance. It is just over two week’s earnings for those living on the government minimum.

LWF reported that 28% of workers had relied on a foodbank at least once per month in the past year. More than half of London’s workers have had to use food banks.

LWF found that 31% of respondents were behind on their household bills. 24% had been unable heat their homes because of financial constraints. And one third skipped meals.

According to the survey, financial struggles can have an impact on mental health.

Over two thirds (67%) of respondents said that their income had an adverse impact on their mental well-being. The same proportion also said that their financial situation had increased their anxiety.

Sleeping was a problem for 65% respondents. 53% said that their salary negatively affected their relationship.

On 23 October, the LWF will release its new rates of Living Wage for 2024-25. The rate in the UK is currently PS12.00 an hour and PS13.15 in London. This will increase to reflect the rising cost of living.

Employees aged 21 years and older will pay PS11.44 per hour to the government. This rate will rise on April 1, 2025.

In the Employment Rights Bill released last week, it was announced that the government will create new Fair Pay Agreements in the adult social care sector so that the sector can establish its own benchmarks and will reinstate School Support Staff as a negotiating body.

The government has also pledged to remove the age bands that are currently included in the national minimum wage rate and to expand the mandate of the Low Pay Commission so it can take into consideration the cost of living while setting rates.

According to the LFW, over half (52%) of employees believe that an increase in pay is the best thing that their employer can offer. 62% of respondents think that receiving a salary that matches the cost of living will improve their mental well-being.

Katherine Chapman said that the research revealed the “stark realities” faced by millions of workers.

The real Living Wage, which is the only UK wage rate based solely on cost of living, is a lifeline to workers and their families. It allows them to live and not just survive. She said that it meant being able pay an unexpected bill, or purchase a birthday gift for your child. “Things many of us take as granted”, she added.

Kristina Mculska is employed by the London Stadium catering team, an employer that pays the Living Wage. She said: “The Living Wage is important to me and my entire family, especially in London, where the cost of living can be so high.

The real Living Wage is a great motivator and increases my productivity. It also helps you feel confident about the future and maintain a stable mental health. This is essential for maintaining healthy relationships with family and colleagues.

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