· The adult rate of the minimum wage (for workers aged 22 and over) will increase from its present hourly rate of £4.85 to £5.05 in October 2005, and to £5.35 in October 2006. The 2006 increase is subject to confirmation by the Commission in February 2006, to check that the economic conditions continue to make it appropriate.

• The development rate (for workers aged 18-21 inclusive) will increase from the present hourly rate of £4.10 to £4.25 in October 2005 and £4.45 in October 2006.
  NB: The development rate can also apply to workers aged 22 and above during their first 6 months in a new job with a new employer and who are receiving accredited training.
• The Government should invite the Low Pay Commission to review the operation of the 16-17 year old rate of £3 an hour and to report in February 2006, with recommendations for any subsequent increases.