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Research reveals ‘devastating’ impact of low pay

KANIKA SINGH RATHORE, 09/10/202509/10/2025

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New research shows that three out of five low-paid workers have skipped meals, can’t heat their homes or taken out payday loans to cover essential supplies.

The Living Wage Foundation said its survey of 2,000 workers showed that low pay has a “devastating impact” on people’s lives.

Three out of five respondents said they were forced to regularly skip meals, were unable to heat their homes, fell behind on bills or took out payday loans to cover their essentials in the past year because of their salary levels.

Two in five said they have been forced to use food banks, increasing to more than half of low-wage workers with dependent children.

The research was based on a survey of workers in London paid below the voluntary so-called real living wage of £12.60 and £13.85 an hour.

A low-wage worker who took part in one of the focus groups that formed part of the research said: “I’m really struggling to balance the bills, the rent, food for the kids and for myself too. There’s always some kind of sacrifice going on.”

One Four of those surveyed said they had no savings, while one in five reported they had less than £10 saved every week after paying for essentials including food, accommodation costs and energy.

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Katherine Chapman, executive director of the Living Wage Foundation, said: “Today’s research reflects the harsh reality for workers who are paid less than the real living wage, forced to make impossible choices between heating homes, feeding their families or falling behind on bills.

“Despite tough economic times, it is encouraging to see more employers from all sectors and sizes joining the Living Wage movement of over 16,000 employers. They know that when employees are paid a wage that reflects the cost of living, they thrive, and so do the organizations they work for.”

Katie Hood, lead community organizer Colchester The food bank said: “The report reflects the harsh reality of the lives of low paid workers that we see every day at Colchester Food Bank.

“The damaging impact of low wages affects all areas of our community’s well-being. The findings make it clear that the stark reality of rising costs of living, limited access to real-livable jobs and growing economic inequality is leaving too many people behind.”

Uk devastatingimpactpayresearchreveals

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