B&Q and Five Guys among firms that paid staff below minimum wage

More than 600 employers across the United Kingdom have been ordered to repay underpaid wages, resulting in roughly £4 million being returned to affected staff, according to a Department for Business and Trade announcement. The government’s first “naming round” under the newly created Fair Work Agency listed a diverse mix of retailers, restaurants, care providers and NHS trusts, with the underpayment periods ranging from 2013 to 2025. Among the most prominent firms named, B&Q failed to pay 4,530 workers a total of over £456,000, attributing the shortfalls to miscalculations involving geographical allowances, while Five Guys owed more than £54,000 to 3,699 employees, citing “technical differences” in payroll regulation application. Other notable breaches included Epsom and St Helier Hospital Group, which underpaid 75 staff by £123,000, and St George’s University Hospitals NHS Foundation Trust, which fell short on pay for 55 workers due to salary‑sacrifice scheme errors and London weighting issues.

The revelations come as the Fair Work Agency, established in April under the Employment Rights Act, begins to enforce minimum‑wage compliance more rigorously and prepares to target other unlawful practices such as denying holiday and sick pay. Business Secretary Jonathan Reynolds stressed the government’s determination to eradicate “short‑changing” of staff, while Minister for the Future of Work Kate Dearden warned that underpaying employees is illegal and urged employers to audit payroll systems and seek Acas assistance if needed. The list’s top ten offenders, sorted by the amount owed, highlight systemic failures in both private and public sectors, with the largest breach recorded by Elysium Healthcare Holdings, which underpaid 1,095 workers by more than £330,000.

In response, the named companies have largely framed the underpayments as inadvertent errors. B&Q claimed the discrepancies were unintentional and corrected them in July 2025, whereas Five Guys emphasized cooperation with HMRC throughout its review and confirmed that all required payments to current and former staff have been made. NHS trusts involved have indicated that the issues stemmed from outdated salary‑sacrifice arrangements, which have since been revised, though some trusts dispute that any staff were actually underpaid. The government’s public naming of these employers serves both as a deterrent and a signal that robust enforcement will continue, aiming to protect workers’ rights and maintain a level playing field for businesses that adhere to legal wage standards.

⚡ Effects Interpreter