Oral Answers to Questions

Lord Field of Birkenhead Excerpts

Thursday 8th January 2015 Commons Chamber

[Vince Cable]

There is a legitimate concern about high pay as well as low pay, which is why the Government introduced reforms of executive pay, with a binding vote on executive pay by shareholders, significantly strengthening the Government’s powers to ensure that shareholders exercise proper responsibility over top pay.

[Mr Frank Field (Birkenhead) (Lab)]

The Secretary of State talks about relieving pressures on the living standards of the lowest paid, but is he aware that the all-party parliamentary group on hunger and food poverty in Britain found, to its surprise, that a number of people using food banks were on the minimum wage? Might he not therefore use whatever powers he can to press those sectors of industry that could pay the living wage, such as banking and finance, to do so?

[Vince Cable]

I suspect that relatively few people are on the minimum wage in the banking and finance sectors, but we support the living wage for those companies that can afford it and are not putting people out of work. My responsibilities are more in respect of strengthening the minimum wage and making enforcement tougher. We are doing that and we are signalling to the Low Pay Commission that we respect its independence but are looking forward to real-terms increases in the minimum wage in the future.