The London Living Wage has been increased today (November 3) to reflect the amount needed to live in the capital.

Employees working for companies signed up to pay the London Living Wage will benefit from a four per cent increase, bringing the wage up to £9.15 an hour from £8.80, the Mayor of London, Boris Johnson, announced this morning.

Companies have to sign up to the London Living Wage to become accredited, showing their pledge to pay the rate.

The number of employers paying it in the capital has doubled in the last 12 months, with major brands such as Google, which is based in Victoria, ITV and Nationwide signing up over the last year, bringing the total up to more than 400 in London.

Lots of smaller businesses have also committed to the Living Wage.

Despite this, one in five employed Londoners earned less than the new rate in 2013 and the Mayor announced today a renewed focus on encouraging business in the hospitality and retail sectors to sign up to the scheme.

Mr Johnson added: “It is extremely encouraging to see companies both large and small recognising the benefits of fair remuneration. The London Living Wage rewards hard working Londoners for their valuable contribution to the productivity and growth of this city’s economy. It is a win-win scenario for the workforce and employers alike.

“Importantly, this isn’t just about economic dividends, but the immeasurable improvement to quality of life and workplace morale. In excess of 400 businesses have made the commitment, but we need even more converts, particularly in the retail and hospitality sectors. I hope that even more organisations this year will decide to do the right thing.”

Rhys Moore, director of the Living Wage foundation, welcomed the increase and said London is leading the way in championing the Living Wage as it reflects the challenges of working and living in one of the world’s most expensive cities.

“This reflects the real cost of living, rewarding a hard day’s work with a fair day’s pay,” he added.

The living wage rate for the rest of the UK was raised this morning by 20p to £7.85.