Background on the London weighting system This was based on a flat rate for inner London which was classed as up to four miles from Charing Cross. And a flat rate for the other London boroughs. The process was then expanded to the counties bordering London towards the end of the 1980s.
What is classed as Inner London?
The Inner London boroughs are currently the richest parts of the region. They include Camden, Greenwich, Hackney, Hammersmith and Fulham, Islington, Kensington and Chelsea, Lambeth, Lewisham, Southwark, Tower Hamlets, Wandsworth, and Westminster.
What is Inner London weighting NHS?
The High-Cost Area (HCA) allowance, also referred to as London Weighting, is a payment made to employees who work in London and the surrounding areas.
What is the London weighting 2022?
Increases in London weighting vital for helping Londoners through the cost of living crisis 30 May 2022. The minimum London weighting needed to cover a basic standard of living in the capital is £6,549, new research shows. That’s over £2,000 the average minimum London weighting paid to many key workers.
Where does Inner London weighting apply?
London weighting is an allowance paid to certain civil servants, teachers, airline employees, PhD students, police and security officers in and around London, the capital of England. It is designed to help these workers with the cost of living in Greater London, which is higher than that of the rest of the UK.
Do you get London weighting if you live outside London?
If your job has London weighting it will be based on the location of the job, not your home, so yes. But most jobs don’t have London weighting – it’s not a law, it’s just something some companies (and the NHS and schools) offer. It would be easy enough for you to find out if your employer offers it.
What is Inner London on payslip?
Inner London = High Cost Area Supplement and is payable at either the Inner (20%) or Outer (15%) rates. For non London sites HCAS is not payable. In this example it is for Outer London and amounts to 69.17. Hourly rate for HCAS is calculated as value of HACAS divided by total basic hours.
What counts as inner and outer London?
The Office for National Statistics and the Census define Outer London differently, excluding Haringey and Newham (which are defined as Inner London), and including Greenwich.
How do you qualify for London weighting?
Higher paid workers are more likely to be able to reach a decent living standard without a minimum London Weighting than those on lower pay. Based on updated analysis, a minimum London Weighting needs to be £9,600 in Inner London and £6,549 in Outer London to cover the additional costs of a minimum living standard.
What is the NHS pay increase for 2022?
£1,400
The government has accepted the recommendations of the NHS PRB, as outlined in its thirty-fifth report, and agreed to a minimum £1,400 consolidated uplift to all pay points, backdated to 1 April 2022.
Is London weighting still paid?
Can workers be stripped of the London weighting benefit? Effectively, yes. London weighting is not a right enshrined by law. It’s more of a common understanding among employers in the capital that it costs more to live and work in London, and so employees should be paid in line with this.
Does gross salary include London weighting?
Your London weighting allowance is added to your basic wage that forms your gross salary package which attracts income tax and is subject to national insurance deductions at current rates. It may be useful to contact your local tax officer.
What is the average salary in London 2022?
The average annual salary for full-time workers in London in 2022 was 41,866 British pounds a year, compared with 29,521 pounds for workers in North East England, which was the lowest in the United Kingdom in 2022.
Can my employer remove London weighting?
Those employers who seek to reduce pay, or remove London weighting from existing employees, cannot simply do so unilaterally. To change a fundamental aspect of an employee’s contract, such as salary, an employer is required to go through a consultation process.
What is the inner London allowance?
London allowances have their roots in the 1974 report of the Pay Board, which recommended an extra payment to compensate for the extra costs of living in the capital. This was based on a flat rate for inner London (up to four miles from Charing Cross) and a flat rate for the other London boroughs.
How much do you get for London waiting?
55% of employers reported that they paid between 1% and 10% higher, 40% admitted to paying between 11% and 20% higher, while 4% are paying in excess of 20%. Moreover, if you break it down by sector, the results become even more differentiated.
What is the lowest salary you can live on in London?
Heading_31716. The London Living Wage is an hourly rate of pay, currently set at £11.05. It is calculated independently to reflect the high cost of living in the capital, giving a worker in London and their family enough to afford the essentials and to save.
Is 40000 pounds enough to live in London?
A single person living in London would need about £50,000 a year; A couple should be able to get by with £60,000 a year; A family of four would need an average income of £70,000 to cover the cost of living in London.
How much is NHS Outer London Weighting?
15%
High cost area supplements
| Area | Level (1 April 2022) |
|---|---|
| Inner London | 20% of basic salary, subject to a minimum payment of £4,888 and a maximum payment of £7,377 |
| Outer London | 15% of basic salary, subject to a minimum payment of £4,108 and a maximum payment of £5,177 |
Is Inner London the same as central London?
“Inner London” has a more political flavour and would tend to be used to describe a wider area and in particular local authority boroughs such as Wandsworth, Lambeth, Camden and Southwark.
Is Inner London allowance taxable?
London Weighting allowance is pensionable and is subject to income tax and national insurance deductions at the current prevailing rates.