Work· Living Wage Calculating the Real Living Wage for London and the rest of the UK 2026 15 October 2026 Nye Cominetti Louise Murphy Cillian Sheehan This briefing note sets out the method through which the real Living Wage rates (a voluntary hourly pay rate based on what families need to get by) in London and the rest of the UK are calculated by the Resolution Foundation, and overseen by the Living Wage Commission on behalf of the Living Wage Foundation. These rates provide a benchmark for employers that voluntarily commit to go further than paying government-set minimum wages, ensuring their staff earn a wage that they can live on. This year’s rates are the first to be calculated under a new ‘blended’ methodology, which takes the average of two calculations: one based on the Minimum Income Standard, and one based on relative poverty thresholds. We detail the sources underpinning the calculations, which are based on the best available evidence about living standards and costs, and how these and other inputs to the calculation have changed since last year. The UK Living Wage for 2026-27 is £14.10. The London Living Wage for 2026-27 is £15.45.
