MAYOR Boris Johnson yesterday announced that the London Living Wage – the amount required to meet basic living costs – has increased from £8.30 to £8.55 per hour, substantially higher than the national minimum wage of £6.19 per hour.
But his call for all local authorities to pay the higher sum could be illegal, according to Downing Street.
“There are EU procurement laws and forcing companies to pay a particular wage wouldn’t necessarily be consistent with those procurement laws,” said the Prime Minister’s spokesman.
Last night the EU was disputing this interpretation of the legislation.
Yesterday Labour leader Ed Miliband said he could make the Living Wage the legal minimum rate of pay if his party wins the next election.