Women in the Workplace

Baroness Smith of Basildon Excerpts

Thursday 9th July 2015 Lords Chamber

[Baroness Williams of Trafford]

My Lords, the Chancellor said yesterday that the living wage should mitigate the reduction in tax credits.

[Baroness Smith of Basildon (Lab)]

My Lords, the noble Baroness said that women are better off under her Government than any other Government, yet all the independent analyses show that a woman who is a lone parent with two children and works earning the minimum wage—the living wage, as the noble Baroness now calls it—would gain around £400 from these changes but lose more than twice that from the other changes that the Government are bringing to tax credits. How does that help working parents stay in work? How does it benefit women?

[Baroness Williams of Trafford]

My Lords, the living wage helps everybody, including women, get a decent wage for going out to work. Free childcare certainly helps women who want to go out to work. Also, taking women out of tax for the first £11,000 certainly helps women get back to work.

--- Later in debate ---

[Baroness Williams of Trafford]

My Lords, free childcare is already in operation. Its extension will be in operation in due course.

[Baroness Smith of Basildon]

My Lords, the noble Baroness said in answer to my noble friend that those on higher incomes should pay a higher rent, and she quoted the figure of £30,000 income for those outside London. That is the correct figure; we have read the figures. However, is she aware that that could be the joint income of two people on a basic living wage of £15,000 a year? Does she think that £15,000 a year is a higher income?

[Baroness Williams of Trafford]

My Lords, I did not quote that figure; it was the noble Lord, Lord Beecham. However, I recognise that those are the figures. This Government must balance the reduction of the deficit and growing the economy. Everyone has to play their part.