Draft National Minimum Wage (Amendment) Regulations 2018

Grant Shapps Excerpts

Wednesday 21st March 2018 General Committees

[Andrew Griffiths]

I thank hon. Members for their valuable and detailed comments. I am disappointed, but not surprised, that the hon. Member for North West Durham talks down the state of the economy. She may view a pay rise of £600 a year as “small”—I think that was the word she used—but I do not. I draw her attention to the fact that the annual earnings of a full-time minimum-wage worker will have increased by more than £2,000 since the introduction of the national living wage in April 2016. I do not think that that is small; I think it is important.

[Grant Shapps (Welwyn Hatfield) (Con)]

I wonder whether the Minister has fully taken into account the impact of the increase in the amount that people can earn before they pay any tax at all. My recollection is that it was £6,475 back in 2010; perhaps he will tell us what it is today.

[Andrew Griffiths]

My right hon. Friend makes a hugely important point. The fact that we have taken so many people out of paying tax altogether has made a huge difference to the money in their pocket at the end of the month. Through the national living wage and through changes to taxation, we have made a huge contribution to the take-home pay and the bank accounts of the people we represent, particularly the poorest in society.