Consultation over accommodation charge

The Low Pay Commission has launched a public consultation to obtain views on the accommodation offset element of the National Minimum Wage (NMW) from both workers and employers who provide accommodation to their workers.

The accommodation offset is the only benefit-in-kind that can count towards payment of the NMW. It is currently set at a daily limit of £4.73 (£33.11 a week) and its purpose is to act as a protective measure, to discourage employers both from levying excessive accommodation charges and from withdrawing from the provision of accommodation.

The provision of accommodation to workers is widespread in some sectors, for example agriculture and hospitality.

The commission wants to hear both from workers who have accommodation provided for them, and from those employers who provide accommodation to their workers, to gain an understanding of how far the offset has protected low-paid workers since it was introduced and also to see if there is any evidence that the level of the offset has deprived workers of accommodation that would otherwise be offered.

The deadline for responses to the consultation is 10 September 2012.

www.lowpay.gov.uk/lowpay/press/Press_Notice_Consultation_on_Accommodation_Offset.mht