The Royal Borough of Greenwich is to offer discounted business rates to local companies who commit to paying their workers the London Living Wage.
The first 100 local employers that become London Living Wage accredited during 2015-16 will receive a rebate on their business rates to cover five years' worth of Living Wage Foundation subscriptions.
This offer is aimed to encourage local businesses looking at making the change to the London Living Wage, so supporting local communities and the local economy in general.
The Royal Borough itself is itself an accredited London Living Wage employer, paying all staff and agency workers a minimum of £9.15 per hour. It's also doing all it can to encourage local businesses to do the same and this new incentive is a key part of that drive.
Councillor Denise Hyland, Leader of the Royal Borough, said:
The London Living Wage better reflects the current high costs of living, especially here in London. We already pay all of our own staff the London Living Wage and we wanted to directly encourage all local businesses to do the same. We're delighted to be joining Brent Council who have been the first local authority in the country to introduce this initiative. We know many businesses, especially smaller firms, are struggling in the tough economic climate so other rebates are also available on application, but we want to make sure that no local employer feels held back from paying their workers the London Living Wage. We also hope that these discounts offer a further incentive for businesses to locate here. With excellent transport links and a bold regeneration programme, we can boast a great offer to firms who want to base themselves in the Royal Borough of Greenwich.
Greenwich councillor Matt Hartley, who is also the Conservatives' Parliamentary Candidate for Greenwich & Woolwich, said:
I am absolutely thrilled that the Greenwich Living Wage Incentive Scheme I proposed has now become council policy. This could benefit thousands of low-paid employees in Greenwich, and will make a real difference in our shared fight against low pay. I hope the Business Rate discounts now on offer act as a gentle nudge to the many businesses in our borough who are beginning to see the benefits of becoming Living Wage employers - and I look forward to making the case directly to them in the coming months. When employers pay a living wage, everybody wins. It's good for the employee and their families, good for the employer who gains a more financially secure, more productive workforce, and good for society as a whole - reducing the welfare bill and helping us tackle the deficit. It is also the socially just thing to do, and a cause that all parties should continue to champion.
Rhys Moore, Director of the Living Wage Foundation, said:
We are delighted to see the Royal Borough of Greenwich take such a fantastic lead on tackling low-pay. Incentivising local businesses to help working families out of poverty in the borough makes sense for everyone, and we hope that more councils will follow the lead of Brent and Greenwich in pioneering such innovative and practical schemes.