Henry Smith – 2016 Parliamentary Question to the HM Treasury

The below Parliamentary question was asked by Henry Smith on 2016-10-19.

To ask Mr Chancellor of the Exchequer, what assessment he has made of the effect of the increase in the national minimum wage on the incomes of low income households; and if he will make a statement.

Jane Ellison

The introduction of the National Living Wage in April 2016 marked an important step towards building an economy that works for everyone. At £7.20, it represented a 50p increase on the National Minimum Wage, and a pay rise for over a million low paid workers across the UK, many of whom will be in low income households.

The estimated impacts of the National Living Wage are set out in the impact assessment and Annex B of the Office of Budget Responsibility’s July Economic and Fiscal Outlook (available at http://www.legislation.gov.uk/ukdsi/2016/9780111141625/impacts/2016/3 and http://budgetresponsibility.org.uk/docs/dlm_uploads/July-2015-EFO-234224.pdf respectively).