B&Q and Five Guys among companies paying staff less than the minimum wage

DIY store B&Q and fast food chain Five Guys are among hundreds of UK businesses singled out by the government for paying their staff less than the minimum wage.

According to the Department of Enterprise and Trade, more than 600 employers were ordered to pay affected workers their outstanding wages and £4 million was returned to them.

The companies have also been hit with fines worth £7m.

B&Q said the underpayments were unintentional and the result of calculations involving geographic allocations, while Five Guys put the blame on “technical differences in how payroll regulations were applied.”

The list of 658 businesses includes shops, restaurants, nurseries, social care providers and a handful of NHS trusts. The underpayment period covered by the list varies by employer, but generally runs from 2013 to 2025.

The minimum wage is £12.71 for staff aged 21 and over. For 18 to 20 year olds the fee is £10.85 and for under 18s and apprentices it is £8.

B&Q underpaid 4,530 workers by a total of more than £456,000, according to the government.

B&Q responded: “The payment shortfalls were unintentional. They relate to calculations involving geographical allowances being paid in addition to minimum hourly rates. All affected colleagues were promptly paid in full in July 2025.”

Five Guys, named in the list for owing more than £54,000 to 3,699 employees, said “technical differences in how payroll regulations were applied” led to underpayments, which were identified in a review by HMRC, the UK’s revenue and tax authority.

“We have worked closely and transparently with HMRC throughout the process and have made all required payments to affected current and former employees,” the company said.

Epsom and St Helier Hospital Group failed to pay more than £123,000 to 75 workers, according to the list. BBC News understands the underpayments were the result of salary sacrifice plans which have since been amended.

The government list said St George’s University Hospitals in Wandsworth, London, underpaid 55 workers. It is understood this was due to salary sacrifice plans and technical issues with London weighting allocations for some employees. The group has since changed its processes following a review by HMRC.

BBC News understands that the Trust covering the two groups questions whether staff were underpaid.

A spokesperson said trainees at Norfolk Community Health and Care NHS Trust were inadvertently underpaid between 2019 and 2023.

They said that while their salary met contracted hour requirements, meetings, handovers and time spent putting on uniform had not been accounted for, adding that the trust has since changed policies and practices.

The other named trust has been contacted for comment.

There were also several nursing homes on the list and several child care providers.

Business Secretary Jonathan Reynolds said the government was determined to stamp out the practice of “ripping off staff”.

“The best companies know that taking care of their workers is not only the right thing to do, but also the smart thing to do,” he said.

Kate Dearden, minister for the future of work, said: “Underpaying your staff is illegal and we won’t let workers foot the bill because their boss isn’t following the rules.”

“All employers should review their payroll now and contact Acas if they need further support,” he added.

The top 10 employers on the government’s list, ranked by the amount of unpaid wages, are:

1. B&Q Ltd, failed to pay £456,934.72 to 4,530 workers.

2. Elysium Healthcare Holdings 3 Ltd, Borehamwood, failed to pay £330,048.81 to 1,095 workers.

3. St George’s, Epsom and St Helier Hospital Group, failed to pay £123,331.97 to 75 workers.

4. Limited Support Staff Services, Slough, failed to pay £119,715.13 to 323 workers.

5. Forest Holidays Ltd, Moira, failed to pay £100,308.68 to 598 workers.

6. St George’s University Hospitals NHS Foundation Trust, London (Wandsworth), failed to pay £77,498.91 to 55 workers.

7. Lanes Group Limited, Leeds, failed to pay £67,893.34 to 297 workers.

8. UK Care Team Ltd, Leicester, LE19, failed to pay £67,082.76 to 99 workers.

9. Five Guys JV Limited, London (Royal Borough of Kensington and Chelsea), failed to pay £54,642.47 to 3,699 workers.

10. Merlin Cinemas Limited, Redruth, failed to pay £50,198.75 to 181 workers.

The list marks the first “round of appointments” since the Fair Work Agency was created in April under the Working Rights Act.

In addition to enforcing the minimum wage, the agency will soon address practices of denying workers vacation and sick pay.

The agency’s advisory board chair, Matthew Taylor, said naming employers who underpay staff was an important reminder that “paying the minimum wage is not optional, it is the law.”

He said: “Most employers want to do the right thing and we will support them to comply, but those who don’t should expect strict enforcement to protect workers and maintain a level playing field for responsible businesses.”

Clarification 3 September: An earlier version of this article contained a direct quote from a spokesperson for St George’s, Epsom and St Helier Hospital Group which was later removed. This section was amended to summarize the BBC’s understanding of how pay sacrifice schemes had worked in hospitals. It also incorporated the trusts’ view that no staff had been underpaid.