Young workers may get a better deal

Tony Blair hinted that entitlement could be extended during Prime Minister's Questions.

He said: "I hope next week we will be able to say more about the National Minimum Wage and ... young people."

The news was welcomed by TUC general secretary Brendan Barber who said unions would be "delighted" that their campaigning had paid off.

Employee 'scaremongering'

The current youth rate for 18 to 21-year-olds is �3.80 and for workers over 21 it is �4.50 an hour, which could be increased to �4.85.

Minimum wage rises April 1999 �3.60 (18-21's �3) Oct 2000 �3.70 (18-21's �3.20) Oct 2001 �4.10 (18's-21's �3.50) Oct 2002 �4.20 (18-21's �3.60) Oct 2003 �4.50 (18-21's �3.80) Source: Low Pay Commission

Mr Barber said: "This year's rise is welcome particularly for workers at the bottom of the salary scale who will be feeling the benefits in their purses and wallets.

"Unions will be delighted that their campaigning has paid off and that young people are to benefit from a minimum wage at last."

Currently workers over 21 can expect to earn at least �4.50 an hour.

The youth rate for 18 to 21-year-olds is �3.80.

Unions have repeatedly called for a �5 minimum.

The government has also dismissed complaints from some employers as "scaremongering".