The firms said that, under Living Wage Accreditation, they will work with third-party contractors and suppliers to agree and implement measures outlined by the Living Wage Foundation.
British Gas human resources director Andy Houghton said: “We’re a major British employer and we believe paying at least the living wage is the right thing to do. This accreditation underpins our commitment to being a responsible employer. We’re very pleased to be working with the Living Wage Foundation to make this happen.”
Living Wage Foundation director Rhys Moore said: “We are delighted that British Gas and its parent company, Centrica, are now accredited Living Wage employers. They join 1,600 other businesses that recognise the living wage as a mark of responsible business.
“I’m sure that the move taken by one of the UK’s most well-known organisations will encourage others in the energy sector, and the wider business world, to consider how they too can implement the living wage.
“The living wage is a robust calculation that reflects the real cost of living, rewarding a hard day’s work with a fair day’s pay.”
The living wage is calculated as at least £7.85 per hour (or £9.15 in London) which is regarded as the real cost of living in the UK, significantly more than the national minimum wage of £6.50 per hour.
British Gas is the second of the big six energy suppliers to commit to paying the living wage. SSE became the first in September 2013, when it announced that almost 20,000 of its employees across the UK would receive at least the living wage rate.
Last month, independent supplier Ovo Energy became the 1,500th accredited Living Wage employer in the UK.