Oral Answers to Questions

Andrew Griffiths Excerpts

Thursday 23rd January 2014 Commons Chamber

[Andrew Griffiths (Burton) (Con)]

11. What his policy is on the national minimum wage.

[Sir Tony Baldry (Banbury) (Con)]

15. What his policy is on the national minimum wage.

[The Secretary of State for Business, Innovation and Skills (Vince Cable)]

Our aim is to maximise the wages of the low paid without damaging their employment prospects. We fully support the work of the independent Low Pay Commission in framing the pay rate recommendations for 2014. I have also asked it to consider the conditions that would be needed for faster, above inflation, increases in the national minimum wage.

[Andrew Griffiths]

I warmly welcome the Chancellor’s announcement of his support for raising the national minimum wage, which would be of huge benefit to the lowest paid in Burton and Uttoxeter, and across the country. Does the Secretary of State accept that it would also place extra costs on business, particularly on small business? Will he consider what could be done to reduce business taxes and regulatory burdens to help those businesses pay for an increase in the minimum wage?

[Vince Cable]

Yes, of course we are conscious of the extra cost that would fall on business. That is why the Low Pay Commission tries to make a balanced judgment between the impact on employment and the increase in earnings for workers. It must be left to make its judgments and its independence must be respected. On the tax implications, given that the Chancellor is now heavily involved in this proposal and supportive of it, I am sure that he will be helpful on that front as well.