HC Deb 20 January 1998 vol 304 c469W
Mr. Redwood

To ask the Chancellor of the Exchequer (1) what increase in national average earnings would result from a national minimum wage at one half of average earnings with(a) full restoration of differentials, (b) half restoration of differentials and (c) one-quarter restoration of differentials; [24413]

(2) what increase in national average earnings would result from a national minimum wage at 40 per cent. of average earnings with (a) full restoration of differentials, (b) half restoration of differentials and (c) one quarter restoration of differentials. [24412]

Mr. Geoffrey Robinson

The effect of the minimum wage on national average earnings will depend on a number of factors, including the level it is set at, its coverage, and the state of the labour market when it is introduced. The terms of reference of the Low Pay Commission ask it to take into account the wider effects on the economy, including the effects on inflation and employment, in making its recommendations on the minimum wage.

Mr. Redwood

To ask the Chancellor of the Exchequer (1) if the Government will exempt earnings up to the level of the minimum wage from income tax; [24298]

(2) if he will raise tax thresholds to a level which ensures that no-one pays income tax on pay up to the minimum wage level. [24297]

Mr. Geoffrey Robinson

Decisions on tax are a matter for my right hon. Friend the Chancellor of the Exchequer in his Budget statement.