living wage

Ed Miliband, Labour leadership contender, appears to be making a bold call today:

In a speech at the London School of Economics, Ed Miliband will say he wants to get the Labour Party as a whole behind the “living wage” campaign, calling for a rate of £7.60 in London and a national average outside the capital of £7.16. About five million workers would benefit. The actual minimum wage is set to rise to £5.93 in October. (PA)

At first glance this seemed hugely radical/drastic depending on your point of view; given that it would represent a 28 per cent rise in wages for the lowest paid. Surely the CBI et al should be horrified? Read more