Living Wage

Debate between Viscount Younger of Leckie and Baroness Tyler of Enfield

Wednesday 6th November 2013 Lords Chamber

[Viscount Younger of Leckie]

I remind the House that the living wage is a voluntary rate of pay, above the national minimum wage, proposed by the Living Wage Foundation. It is very much up to employers and employees through their contracts to decide what the rate of pay should be. However, I note the noble Lord’s point.

[Baroness Tyler of Enfield (LD)]

My Lords, does the Minister agree with the Mayor of London, Boris Johnson, who said only on Monday that more employers in the capital were recognising the benefits of the living wage for their workforces by specifically helping low-paid families to make ends meet, as well as promoting economic dividends for employers and boosting growth and productivity? Does the Minister share the mayor’s wish to spur more employers on to do the right thing?

[Viscount Younger of Leckie]

I certainly share that wish and the mayor has made his views clear. I said earlier that I also applaud what companies are doing, provided that they can afford it. But to help households manage the costs of their bills—I have said already that I recognise that there is a squeeze on them—this Government have already frozen council tax and cancelled the rise in the fuel duty escalator. We are encouraging competition and that consumers switch to get the best deals. Moreover, advice is available from citizens advice bureaux and the Money Advice Service.