On Wednesday Labour will drag ministers to the House of Commons to demand better enforcement of the National Minimum Wage (NMW) after it emerged that despite government promises last year, not a single firm has been named and shamed for not paying.

The National Minimum Wage is worth less in real terms than it was when the Tory-led Government took office in May 2010 - and Labour will also call on the Government to strengthen the NMW and encourage more employers to pay a living wage, as well as introducing higher fines for firms found not paying it and for local authorities to be given enforcement powers.

This year sees the 15th anniversary of the establishment of the National Minimum Wage. In November 2013, Ed Miliband announced that a future Labour government would introduce ‘make work pay’ contracts to incentivise firms to pay the living wage. Alan Buckle, former Deputy Chairman of KPMG is leading a review for Labour on how the NMW can be strengthened and its value restored, including looking at extending the role and powers of the Low Pay Commission.

Ian Murray MP, Labour’s Shadow Minister for Trade and Investment, said:

“The National Minimum Wage is one of Labour’s proudest achievements in government and has made a huge contribution over the last 15 years in ending poverty pay and boosting living standards – it is right that we should celebrate the difference it has made.

“However, the Tory-led Government is not doing enough to enforce the minimum wage – last year ministers promised to name and shame firms which aren’t paying, but not a single firm has been named so far.

“We need to see higher penalties for rogue companies who don’t pay employees the minimum wage and far more effective enforcement, including by giving local authorities new powers.

"At a time when families are being hit by a cost-of-living crisis, the value of the minimum wage has been eroded since the Tory-led Government took office, so we are demanding that the government strengthens the National Minimum Wage and does more to encourage employers to pay a living wage.”

The motion of Labour’s Opposition Day debate is as follows:

“That this House celebrates the fifteenth anniversary of the introduction of the National Minimum Wage (NMW) which falls this year and the contribution it has made to making work pay, boosting living standards and tackling in-work poverty; notes that before the NMW was established poverty pay was widespread and that the Conservative Party and many Liberal Democrat Members opposed its introduction; further notes that families are on average £1,600 worse off a year and the NMW is now worth less in real terms than in May 2010; further notes that the government has not backed up its promise to ‘name and shame’ firms not paying the minimum wage; calls on the government to strengthen the NMW, including by increasing fines for non-payment of the NMW and giving local authorities enforcement powers; and further calls on the Government to encourage employers to pay a living wage and take action to restore the value of the NMW so that the UK can earn its way out of the cost of living crisis and help control the cost of social security.”