Speeches

Paul Blomfield – 2016 Parliamentary Question to the HM Treasury

The below Parliamentary question was asked by Paul Blomfield on 2016-06-20.

To ask Mr Chancellor of the Exchequer, with reference to the Answer of 1 March 2016 to Question 25631, whether HM Revenue and Customs has completed its investigations into the six social care companies; and what recent assessment he has made of the extent of National Minimum Wage compliance in the social care sector.

Mr David Gauke

The government is committed to increasing compliance with minimum wage legislation and effective enforcement of it. Everyone who is entitled to the National Minimum Wage or National Living Wage should receive it. Employers who pay workers less than the minimum or living wage not only have to pay back arrears of wages at current rates but also face financial penalties of up to £20,000 per underpaid worker.

HMRC has not completed all the investigations into the six social care companies. HMRC continues to be aware of the risks of underpayment of NMW in the social care sector and is prioritising complaints from workers; working with other agencies and departments to raise awareness of the rules; and undertaking targeted enforcement to ensure that workers are paid what they are legally owed.