Nearly 5 million workers paid below 'living wage'

As many as one in five workers – some 4.82 million people – are paid less than a 'living wage', according to a new analysis.

The study is published by a leading accountancy firm that supports the living wage for its own employees.

A living wage was calculated to be £8.30 an hour in London in 2011 (£7.20 outside), based on what was needed by the average household type to cover basic living costs. This compares with the current statutory minimum wage of £6.08. An uprated living wage calculation for 2012 is expected to be published soon.