Question to the HM Treasury:

To ask the Chancellor of the Exchequer, if he will make it his policy to increase the minimum wage to the Living Wage Foundation's recommendation of £9.30 in the next Budget.

The introduction of the National Living Wage (NLW) has delivered the fastest pay rise for the lowest earners in 20 years; the latest increase saw a full-time worker’s annual pay rise over £3,680 since its introduction. Through the National Living Wage and National Minimum Wage (NMW), the Government remains committed to supporting the lowest paid workers for their hard work and valuable contribution to the economy.

The NMW and NLW rates are legal minimum thresholds whereas the Living Wage is a voluntary minimum rate of pay. The Government commends the work of the Living Wage Foundation and those employers who commit to paying the voluntary Living Wage where they can afford to do so.

At Spring Budget 2020 the Government reinforced its commitment to an ambitious target for the National Living Wage to reach two-thirds of median earnings by 2024 provided economic conditions allow.

The Government looks forward to receiving the recommendations for 2021’s minimum wage rates from the independent Low Pay Commission in the Autumn.