A study by the Low Pay Commission (LPC) has found that as many as 580,000 Brits could currently be paid under the legal limit for a minimum wage.

A large chunk of those affected are thought to work within the retail sector. The study also found that the most likely to be affected were women in part time, hourly paid jobs.

LPC Chairman, Bryan Sanderson commented: “With more workers than ever being paid the minimum wage or close to it, more people are at risk of being underpaid.”

“Our analysis finds that up to one in five people who should be paid at least the minimum wage may in fact receive less. The LPC welcomes the recent increases in funding for HMRC’s enforcement of the minimum wage, and recognises the progress it has made.”

“However, we also think there is more the government could do to identify non-compliance and stop it happening in the first place.”

At present, the national living wage rate for over 25’s is £7.50 an hour, £7.05 for 21 – 24 year olds and £5.60 for 18 - 20 year olds. Recommendations have been made to name and shame employers who are found to underpay workers.