Part of Oral Answers to Questions — Business, Innovation and Skills – in the House of Commons at 9:30 am on 5th December 2013.
My hon. Friend is right. That is one of the reasons why my right hon. Friend the Business Secretary asked the Low Pay Commission to identify the conditions that are necessary for an increase in the minimum wage. I think that we would all like wages to increase: things have been very difficult for households over the last few years following the economic crisis, and encouraging businesses to pay good wages encourages staff loyalty, motivation and productivity. It is, of course, important to balance that with the fear of unemployment, which we want to keep down.