The official version of this document can be found via the PDF button.
The below content has been automatically generated from the original PDF and some formatting may have been lost, therefore it should not be relied upon to extract citations or propose amendments.
WQ.311/2024
WRITTEN QUESTION TO THE CHIEF MINISTER
BY DEPUTY I. GARDINER OF ST. HELIER NORTH QUESTION SUBMITTED ON MONDAY 23rd SEPTEMBER 2024 ANSWER TO BE TABLED ON MONDAY 30th SEPTEMBER 2024
Question
“Will the Chief Minister provide the calculations undertaken to identify the figure of £20 million, which has been allocated to support businesses with the transition to the living wage in 2025 and 2026 and will he further provide a full breakdown of the evidence base and any associated information used to support these calculations?”
Answer
The living wage policy was subject to a full peer reviewed economic impact assessment. The figure of £20m was reached following the calculation of the estimated cost that the policy would see to business payrolls across the island. The economic advice was that the support, to avoid extra inflationary pressure, should not be a direct subsidy to business and ideally would be less than the total cost to businesses.
Further work is now ongoing to ensure that the package is targeted towards increasing productivity and protecting competitiveness which will be published as part of the budget process.