Labour’s policy to equalise the minimum wage across all adult workers has come under fresh scrutiny as a Treasury minister signalled there is no set timetable to remove age-related pay bands.

Speaking on BBC Radio 4, Torsten Bell stated that the Low Pay Commission will advise on any timeline, while emphasising the party’s commitment to equalising rates.The remarks follow warnings from business leaders that higher costs of employing younger workers could suppress youth hiring.Since 2024, the 18–20 age group has seen a 26% increase in the minimum wage to £10.85 per hour, outpacing the 11% rise for older workers to £12.71.

Labour argues the policy would benefit hundreds of thousands of workers and tackles a moral crisis identified by former Labour minister Alan Milburn, who highlighted rising numbers of young people not in education, employment, or training (Neets).Office for National Statistics figures show over one million Neets, with a record high of economically inactive youths.Milburn’s review urged a broader reset of education, welfare, and health policy to mobilise young people into work.

Conservatives criticised the stance as a dangerous U-turn that would worsen unemployment among youths, arguing that job creation depends on businesses, not government mandates.Government officials maintain there is a clear commitment to equalise pay, even if the exact timing remains to be determined.