The Living Wage Foundation, which sets the hourly rates employers can choose from, said they would rise by £1 to £10.90 across the UK and by 90p to £11.95 in London. The prices – which are independently calculated based on what people need to live – are higher than the statutory £9.50 an hour for adults. They are paid by more than 11,000 employers who have signed up to the scheme. The foundation said 390,000 people would benefit, amounting to nearly £2,000 for a full-time worker. The new rates, he also explained, are now worth £2,700 a year to full-time workers in the UK than those on the national minimum wage, and almost £5,000 more in London. The increases come at a time when the rate of inflation is hovering at a 40-year high of just under 10%. Use Chrome browser for more accessible video player 2:26 The new perspectives on inflation The 10.1% increase in the real living wage rate in the UK represented the largest annual increase implemented, according to foundation director Catherine Chapman. He said: “With the cost of living rising so fast, millions of people face a dire choice of ‘heat or eat’ this winter – which is why the real living wage is more vital than ever. Read more: British society divided on social values ​​but majority raise taxes All UK businesses secure energy support package “Today’s new rates will provide hundreds of thousands of workers and their families with greater security and stability during these incredibly difficult times. “We are facing unprecedented challenges with the cost of living crisis, but businesses are continuing to step up and support workers by signing up to the Living Wage in record numbers. “We know the living wage is good for both employers and workers, so the real living wage must continue to be at the heart of solutions to the cost of living crisis.” Click to subscribe to Sky News Daily wherever you get your podcasts The foundation said the number of real wage employers had more than doubled in the past two years, with notable new names including the Royal Albert Hall, Aston University and the ExCel Centre. They are involved in half of the FTSE 100 companies, including Aviva, Everton FC, Ikea, Burberry and Lush as well as thousands of small businesses.