Chancellor John Healey has suggested that Labour may not close the minimum wage gap between younger and older workers before the next election, potentially breaking a manifesto pledge.
In its 2024 manifesto, Labour promised to remove "discriminatory age bands" and end the gap between the adult minimum wage and pay for 18 to 20-year-olds. But in last week's Budget, Healey said younger workers would receive the same increase as older workers, leaving the gap in place this year.
In a BBC interview to be broadcast on Sunday, Healey was asked if younger workers would earn the same minimum wage as older workers by the next election. "We'll take one step at a time," he said.
The 2026 minimum wage for 18 to 20-year-olds will be £11.27 an hour, while those over 20 will earn a minimum of £13.21.
Healey added that the government remains committed to the goal but hinted the timeline might shift. "There is no question about whether or if, it's a question of when, it's a question of how fast," he said. He cited trade-offs between jobs and wages, and said he wanted to bring business and trade unions along with the government on the issue.
Healey also said he is willing to make large cuts to some government departments to reduce national debt. When pressed on whether cuts could exceed 2% a year in some areas, he said the government would "carry that through to the 10-year plan and the spending review next year."