GLASGOW could see a huge economic windfall if just a fraction of its low paid workers were paid the living wage.

Research has shown that if one in four of the 150,000 workers who earn below the Living Wage in the greater Glasgow area were paid the £8.75 an hour rate, it would provide a £50m boost to the economy.

Almost one in five workers in the Glasgow region are paid below the Living Wage hourly rate and would get a pay rise of at least £23 a week if their employer was to become an accredited Living Wage firm.

The real Living Wage set by the Living Wage Commission is 92 p an hour higher than the UK Government Minimum wage for over 25s.

The Treasury would benefit too with an extra £16m taken in in income tax.

Businesses in Glasgow would benefit from increased spend from the 37,500 people who would see an average annual pay rise of £1,180.

Peter Kelly, Director of the Poverty Alliance, said: “This report makes clear the tangible benefits to the economy when more employers commit to paying all of their workers the real Living Wage of £8.75.

“Since Living Wage Scotland launched in 2014, we have been working closely with employers of all sizes from a range of sectors across Scotland to understand the business benefits that come from paying the real Living Wage, and the difference that this can make to workers and their families.

“This new report is evidence of what we already suspected- that paying the real Living Wage is not only good for the individual and good for business, but also for the wider economy.”

Around 270 Glasgow-based employers are accredited as Living Wage employers, and campaigners are continually workign to increase the number.

Jamie Hepburn, Minister for Business Fair Work and Skills, said: “The Scottish Government has long championed Fair Work and paying the real Living Wage is part of that: it ensures not only that workers are treated more fairly and they get more money in their pockets - it benefits our economy too.”

The report by the Smith Institute, commissioned by the Living Wage Foundation highlights the role that leading local public and private sector employers such as universities, hospitals, football clubs and city airports can play in providing leadership on the Living Wage.

It calls on local authorities to work with these key ‘anchor institutions’ to drive Living Wage take up in their towns, cities and regions. ?

Around 467,000 people in Scotland earn below the Living Wage and 182,000 children live in poverty despite having one person in their household in work.