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Evening Standard
Evening Standard
Politics
Rachael Burford

Over 65 London employers including a council fined £1.6m after 7,400 workers paid less than minimum wage

66 employers in the capital, including well-known high street brands and a London council, underpaid 7,400 staff members - (PA Wire)

London firms have been fined £1.6million and told to backpay thousands of workers after failing to pay the National Minimum Wage.

Some 66 employers in the capital, including well-known high street brands and a London council, underpaid 7,400 staff members, the Government said on Friday.

They have been ordered to pay back employees a total of £900,000.

Among those named and shamed by the Department for Business and Trade (DBT) was Havering Council, which underpaid eight workers by £3,707.

Hugo Boss, based in Camden, also failed to pay £16,699 owed to 136 workers, the Government said.

Adecco UK Ltd, based in Lambeth, was the biggest offender in London, having underpaid 3,356 workers by £436,877.

Employment Rights Minister Kate Dearden said: “This government is taking direct action to ensure workers get every penny they’ve earned, and to put an end to bad businesses undercutting good ones.

“We are proud to have delivered a strong minimum wage and enforcing it thoroughly is crucial in our mission to put pounds back in your pocket.

“I know this news will be welcomed by brilliant businesses across the country, those who know that happy well-paid staff are at the heart of building a successful company.

“With our new Fair Work Agency and the coming Employment Rights Bill, this government is keeping our promise to Britain to make work pay again”.

The UK's minimum wage went up in April 2025 to £12.21 per hour for workers aged 21 and over. It is £10.00 per hour for those aged 18–20, and £7.55 per hour for those under 18 or apprentices in their first year of work.

Across the UK, British Gas owner Centrica, EG Group and Holland & Barrett were among the other firms to be named by the Government for underpaying staff.

In total there were 491 employers on the DBT’s list of firms that failed to pay the minimum wage.

They will pay fines amounting to a combined £10.2 million as a result of breaking the rules.

In total, around 42,000 people have been repaid by their employers after being left out of pocket, the DBT said.

EG Group short-changed its workers the most, according to the Government's latest investigation of pay between 2018 and 2023.

The company, which was co-founded by the billionaire Issa Brothers, but who have since stepped back from leading the firm, failed to pay £824,384 to 3,317 workers.

This meant individual employees were underpaid about £250 on average.

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