Extra minimum wage increases will close more pubs

An extra increase in the minimum wage - to get the Government off the hook over its 10p tax rate fiasco - would increase pub closures.

That's the view of the Association of Licensed Multiple Retailers (ALMR) after the Government announced its plans to defuse the row over the 10p income tax starting rate.

Chancellor Alistair Darling and Business and Enterprise secretary John Hutton have asked the Low Pay Commission to consider minimum wage changes to benefit young workers.

"The minimum wage regime for next year was set only last month, with the Government accepting the Low Pay Commission's recommendations,"​ chief executive Nick Bish (pictured​) said at the association's AGM.

"It would be ridiculous for this 'done deal' to be reviewed so soon - and for political, rather than economic, reasons.​

"The Government is already hitting Britain's pubs and bars with higher taxes, plus extra rules and regulations - with disastrous results.

"Pubs are already closing at a record rate. An extra minimum wage rise would maximise the number of pubs going out of business.

"Drinks duties have already been hiked to help fund the Government's budget deficit.

"We shouldn't have to bail it out, through an extra minimum wage rise, over the 10p tax rate as well."