SHOPPERS PAY FOR WAGE RISE

Nearly a third of firms plan to pass on the cost of the Government’s Living Wage to their customers, research has found.

Shops will be among those hit hardest by next April’s £7.20-anhour wage for over-25s.

The owner of Costa Coffee has already blamed the move for possible price rises.

According to accountant PwC the average retailer will see its annual wage bill increase £3.8million in April, jumping to £25.6m in 2020 when the minimum will be £9.

The poll of 135 firms, employing an average of 11,000 staff each, also suggests the rise will cause job cuts.

More than one in four said they are already planning to reduce staffing.

The average company with staff currently paid below £7.20 said pay costs will rise by £2.3m next year.