Healey Signals £11.27 Youth Minimum Wage May Trail £13.21 Rate Past Next Election
Updated
Updated · bbc.co.uk · Oct 31
Healey Signals £11.27 Youth Minimum Wage May Trail £13.21 Rate Past Next Election
3 articles · Updated · bbc.co.uk · Oct 31
Summary
John Healey said Labour may not equalise minimum pay for 18- to 20-year-olds with older workers before the next election, despite a 2024 pledge to scrap age bands.
Under last week's Budget, the 2026 minimum wage for 18- to 20-year-olds will rise to £11.27 an hour, while over-20s will get £13.21, preserving the gap for another year.
Healey said the delay reflects trade-offs between jobs and wages, arguing ministers must consider whether faster equalisation could deter businesses from hiring younger workers.
The shift risks angering unions and Labour's left, even as Healey insisted the government still backs equal pay in principle and is debating timing rather than whether to act.
In the same interview, Healey also signaled willingness to impose real-terms cuts of more than 2% a year on some departments as the government tries to get debt falling.