The UK "living wage" - an hourly rate based on the amount needed to cover the basic costs of living - has been raised by 20p to £7.85.
The voluntary rate has been adopted by more than 1,000 employers across the country, benefiting 35,000 workers.
It is now 21% higher than the compulsory UK minimum wage, set at £6.50 by the government.
The rate in London will rise from £8.80 an hour to £9.15.
If you have any employees do you honour the living wage or do you conform to the £6.50 compulsory minimum wage?