House of Commons · Written Ministerial Statement
Low Pay Commission Remit
30 July 2024 · Department for Business and Trade
Proposed by Jonathan Reynolds Lab Co-op Stalybridge and Hyde
Summarised by AI from the official record, so it can contain mistakes.
At a glance
Key points
- The Government has updated the Low Pay Commission's remit to include consideration of the cost of living.
- The Government aims to remove discriminatory age bands and establish a single adult rate by April 2025.
- The Low Pay Commission is committed to researching the impacts of minimum wage rates on low-paid workers with protected characteristics.
Issue summary
The statement addresses updates to the remit given to the Low Pay Commission to include consideration of the cost of living for the first time.
Action requested
The Government has updated the LPC's remit to formally consider the cost of living and has committed to removing discriminatory age bands, aiming for a single adult rate by April 2025. The new remit also requests continued research on the impacts of minimum wage rates on low-paid workers with protected characteristics.
Key facts
- The Government sets minimum wage rates each October for application in April.
- The updated remit asks LPC to consider the cost of living, business impact, and inclusive growth.
- The new remit aims to remove discriminatory age bands by recommending a National Minimum Wage rate for 18–20-year-olds from April 2025.
- The LPC is requested to report back by October 2024 with recommendations effective in April 2025.