Minimum wage increase accepted by minister

The report recommended minimum wage rates for year one and two trainees remained at £10.50 and £11.75 per hour respectively for one more year from 1 April.

It also recommended an equivalent increase in the allowances available to employers for accommodation and meals provided to employees earning the main minimum wage rate, which Millar said she accepted.

The minister said: "The forum's report also reflected on the debate about a youth rate and possible changes to the way in which the formal trainee minimum wage policy is currently set.

"I will consider carefully the arguments that have emerged from the forum's consultation exercise, and in particular whether a further consultation on these aspects should take place."