And they will be the ones most affected by Tax Credit reductions and whose wages most affect their struggle to pay increased rents and house prices.
There are already warnings that many care homes (a backbone of the East Devon economy) may soon close because they cannot afford to raise wages when council payments to them are not rising to take account of higher wages.
“Within Devon, the figure ranges from 18 per cent in Exeter to 28 per cent in East Devon, 31 per cent in Mid Devon and Teignbridge, and 41 per cent in Torridge.”
http://www.exeterexpressandecho.co.uk/Devon-workers-earns-Living-Wage-new-figures/story-28085285-detail/story.html
I do hope that Tax Credits continue for those in need but businesses need to pay a living wage so that there’s no need for them in the future. Sadly many businesses don’t pay the living wage because they are looking for profit for their shareholders, sad, perhaps if the upper levels take a pay cut and shareholders accept no profit then the lower paid can receive a decent wage.
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