On BBC Radio 4’s Today programme, Treasury minister Torsten Bell cautioned that teenagers may not receive the full minimum wage until after 2030, chaallenging Labour’s 2024 manifesto pledge to equalise pay rates for all adults. Bell said the government remains committed to removing age‑based wage discrimination but did not set a concrete timeline, pointing to the Low Pay Commission for guidance. The comment comes as youth unemployment soars and a critical report from former Labour health secretary Alan Milburn warns that the cost of young people not in education, employment or training (Neets) could reach £125 billion annually by decade’s end.

26% Wage Rise for 18‑20‑Year‑olds vs 11% for Older Workers

Since 2024 , the minimum wage for 18‑20‑year‑olds jumped 26% to £10.85 per hour, while the rate for older workers rose 11% to £12.71 per hour. According to the source, this disparity fuels the debate over whether the government can deliver on its equalisation promise before 2030. bell reiterated that the manifesto does not specify a deadline, underscoring the need for the Low Pay Commission to advise on the appropriate path.

Milburn’s Moral Crisis Report Highlights £125 Billion Neet Cost

Former Labour health secretary Alan Milburn’s long‑awaited review, released alongside Office for National Statistics data,describes the situation as a “moral crisis.” Milburn noted that Britain is an outlier in the EU, with only Romania having a higher youth Neet rate. he warned that the cost of young people not in education, employment or training could reach £125 billion annually by the end of the decade, calling for a “whole system reset” on education, welfare and health policy.

Record‑High 613,000 16‑24‑Year‑olds Economically Inactive

ONS figures reveal that 613,000 young people aged 16‑24 are economically inactive, a record high. The source reports that this surge intensifies fears that rising labour costs are pricing young workers out of jobs.. Milburn linked the rise in Neet numbers to government policies, including new workers’ rights laws and above‑inflation minimum wage increases, which he argues have made it harder for employers to hire young people.

Who Is the Unnamed Buyer of the Low Pay Commission’s Advice?

The source indicates that the Low Pay Commission will play a key role in advising the government on the appropriate path to wage equalisation. However, it remains unclear how the Commission’s recommendations will be implemented , leaving businesses and campaigners uncertain about the pace of change. the lack of a clear deadline has sparked debate over whether the government’s commitment to equalise rates remains unwavering.