The study by KPMG, one of the big four auditors, found that by paying the Living Wage six million people would be lifted out of poverty.
The report covered by City Am added that “early adopters report clear benefits to their businesses”.
Marianne Fallon, Head of Corporate Affairs at KPMG said: “We firmly believe that voluntary adoption of a Living Wage policy by employers, over time, is one of the tools that will help improve social mobility in the UK as well as directly addressing in–work poverty.”
The study found that there would be financial benefits to paying the Living Wage, stating that there is less absence and a more engaged workforce from paying it.
The Office of National Statistics estimates the number of jobs paying less than the Living Wage in London was 367,000 for full time work and 386,000 for part time work last year.
The figures represent 12 per cent of full-time jobs and 45 per cent of part-time jobs, compared to 15 per cent and 43 per cent respectively across the rest of the country.
However, paying the Living Wage, which is is £9.85 an hour and £9.15 in London. It is not compulsory to pay it and it is above the national minimum wage. The national minimum wage is currently £6.70 for those aged over 21.
