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Labour to offer firms tax breaks

Businesses that sign up to paying the living wage will be given a 12 month tax break worth up to £1,000 for each worker under plans unveiled by Ed Miliband. The living wage is £8.55 in London and £7.45 in the rest of the UK.

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Miliband offers tax breaks in exchange for pay increases

Labour leader Ed Miliband has said companies which agree to increase the pay of those on low incomes will be offered tax breaks under a Labour government.

However some small businesses are already warning it would still be unaffordable, despite the cuts worth up to £100 per worker.

ITV News Correspondent Neil Connery reports.

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