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Labour faces accusations of breaking manifesto pledge over minimum wage for young people – UK politics live | Politics

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Labour faces accusations of breaking manifesto pledge over minimum wage for young people – UK politics live | Politics
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Greens accuse Labour of breaking manifesto pledge, after minister signals minimum wage age equalisation being paused

Jonathan Reynolds, the business secretary, has not contested reports saying that, in the budget tomorrow, John Healey, the chancellor, will pause the process of equalising the lower national minimum wage paid to people under the age of 21 with the more generous national living wage that applies to older workers.

In an interview on the BBC this morning, Reynolds was asked to respond to a story suggesting the equalisation process has been put on hold because of concerns about youth unemployment.

In a story for the Times, Steven Swinford and Patrick Maguire report:

double quotation markJohn Healey will announce plans to increase the minimum wage by nearly 4% but slow the rise for young people after warnings that they are being priced out of jobs.

The Times has been told that the national living wage, which applies to those aged 21 and over, is expected to rise from £12.71 to around £13.20 – an increase of 3.9%.

However, Healey has decided not to repeat the big rises of the past two budgets in the national minimum wage, which applies to those aged 18 to 21. It will rise broadly in line with the rate for older workers – from £10.85 to around £11.27, an increase of 3.9%.

In its manifesto, Labour said it would raise the level of the national minimum wage to the level of the national living wage to “so all adults are entitled to the same minimum wage, delivering a pay rise to hundreds of thousands of workers across the UK”. The manifesto implied this would happen during this parliament, but in May Torsten Bell, the pensions minister, said implementation of this commitment could be delayed until after the general election – implying the government is worried equalisation now could increase youth unemployment.

Asked about the Times story on the Today programme, Reynolds insisted the new national living wage and national minimum wage rates would be announced tomorrow.

But he went on:

double quotation markThe manifesto pledge on equalisation still applies, but it was always clear it would happen over time and we would take into account, as the minimum wage uprating each year always does, the relative strength of the labour market and other pressures …

Of course, you want not just good wages, but good work. And the way this has always been done – it is a balance of making sure the pressures on the labour market are taken into account. That is the approach you will see confirmed [in the budget].

The Green party has accused Labour of breaking a manifesto promise. Responding to the Times’ story, and Reynolds’ comments in effect confirming it, Mothin Ali, the Greens’ co-deputy leader, said:

double quotation markAnyone doing a day’s work, needs to be paid the same rate for the same job. A young person’s rent and food bill is no less because they are young, so they need to receive the same wage.

Healey and Burnham are now breaking a manifesto pledge to young people that even Starmer managed to keep. Labour have no respect for young people, who appear to just be there for cheap labour for the wealthy and their corporate donors.

Ali said the Greens would introduce a £15 minimum wage for workers of all ages.

Key events

UK rejoining EU’s Erasmus student exchange scheme in January, with applications open next month, minister tells MPs

The government has confirmed that the UK will rejoin the Erasmus+ student exchange scheme from the start of January, the Press Association reports. PA says:

double quotation markForeign Office minister Hamish Falconer said applications would open next month for young people who will be able to study, train or get work experience in the European Union.

Speaking during Foreign Office questions, Falconer emphasised to MPs that the opportunities would be open to “educational institutions of all kinds”.

Work on the UK joining the Erasmus programme was announced as part of Keir Starmer’s post-Brexit reset deal with Brussels in 2025.

The UK left the scheme under Boris Johnson’s Brexit deal in 2020, with the then-prime minister arguing it did not offer value for money.

It was replaced by the Turing Scheme, which was ended when the government announced the new deal over Erasmus plus.

The government has previously said it expects more than 100,000 people to be able to benefit, and that disadvantaged students tend to benefit highly from taking part in the scheme.



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