All contractors supplying Tower Hamlets council with services are now required to pay their staff the London Living Wage.
Speaking at the annual assembly of The East London Communities Organisation (Telco), Tower Hamlets Mayor Lutfur Rahman revealed that commercial firms who
provide the borough with supplies, maintenance and construction work must now pay their workers at least £8.30-an-hour.
Mayor Rahman told the East London Advertiser: "We're finding extra cash to get more out of our contracts, so that suppliers can't tell us they can't afford to pay the rate.
"We're having to tighten our belts to do it – but it means reducing poverty in the East End and putting money in people's pockets."
The Living Wage Campaign was launched by Telco in 2001 and calls for all workers to be paid enough to provide their family with the essentials.
It is set by the Greater London Authority each year, with the Living Wage rising by 24 per cent since it was first officially launched in 2005.
