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    Home»Business»Research reveals ‘devastating’ impact of low pay
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    Research reveals ‘devastating’ impact of low pay

    Decapitalist NewsBy Decapitalist NewsOctober 9, 2025003 Mins Read
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    Three in five low-paid workers have skipped meals, cannot heat their homes or have taken out a pay-day loan to cover essential supplies, new research suggests.

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

    Three in five respondents said they were forced to skip meals regularly, were unable to heat their homes, fell behind on bills or took out a pay-day loan to cover their essentials in the past year because of their level of pay.

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

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

    A low-paid worker who took part in one of the focus groups which formed part of the research said: “I’m really struggling to balance the bills, rent, food for the children and also for myself. Some sort of sacrifice is always happening.”

    One in four of those surveyed said they had no savings while one in five revealed they have less than £10 left over each week after paying for essentials including food, housing costs and energy.

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

    “It’s been encouraging to see yet more employers, from all sectors and sizes, joining the living wage movement of over 16,000 employers, despite tough economic times. They know that when staff are paid a wage that reflects the cost of living, they thrive, and so do the organisations they work for.”

    Katie Hood, lead community organiser at Colchester food bank, said: “The report reflects the harsh reality of life for low-paid workers that we see every day at Colchester food bank.

    “The detrimental impact of low pay affects all areas of our community’s welfare. The findings make it clear that the sobering reality of rising living costs, limited access to real living wage jobs and widening economic inequality are leaving too many people behind.”



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