London Living Wage increases
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London Living Wage increases by 25p

4 November 2013 Last updated at 20:31 GMT

The Mayor of London, Boris Johnson, has announced London's Living Wage is to rise by 25p an hour to £8.80.

The aim is to encourage companies to give employees in the capital a better standard of living, by paying around £2.50 an hour more than the minimum wage.

BBC London's political correspondent, Karl Mercer, spoke to bar-worker Lacey Green, Craig Beaumont from the Federation of Small Businesses and Neil Jameson from London Citizens.