At PMQs today (18/05/2022), Boris Johnson claimed that the Chancellor was going to raise the Living wage by a record amount.
Boris Johnson says he supports Rishi Sunak's work raising the living wage by a record amount, making sure people on Universal Credit pay a £1000 less in tax and creating a strong economic foundation.
My understanding was that the Living wage was a value calculated by the Rowntree foundation as the actual pay needed to meet living costs, and places no obligation on employers. The Minimum wage being a value set by government that employers must meet in their payments to staff outside of overtime, tips and so on.
So what does it mean for the Chancellor to raise the living wage? And why is the Prime Minister talking about it, if government doesn't control it, employers don't have to honor it and it represents the cost of living, not the wages paid.