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Not a single firm 'named and shamed' by the government for paying below minimum wage has been prosecuted, a Tory minister has said.

Ministers have humiliated nearly 700 employers since 2013 in a scheme they launched to "crack down on those who ignore the law".

Yet this week, they said no criminal prosecutions have been launched in relation to firms that were named in the programme.

Labour peer Lord Beecham, who obtained the answer, branded the failure "deeply unimpressive".

He told the Mirror: "What a contrast between the approach to employers breaking the law and exploiting their workers and the sanctions regime applied ruthlessly to benefit claimants.

"The Tory Government is, to adapt a phrase, just not managing to ensure rogue employers comply with laws designed to provide a minimum wage for workers and their families."

The blow comes as the government appoints a new watchdog today to crack down on rogue firms who undercut the minimum wage.

Sir David Metcalf, emeritus professor at the London School of Economics and a founder of the Low Pay Commission, will be the first ever Director of Labour Market Enforcement.

He said: "While the UK is by and large a fair and safe place to work, there are still rogue employers who exploit their workers and undercut honest businesses. As the Government has made clear, this will not go unpunished.”

But GMB General Secretary Tim Roache said: "Naming and shaming is not enough - we need see a crackdown on those employers who are breaking the law."

Lib Dem business spokesman Lord Don Foster added: “It’s very simple - the minimum wage is the law - and those who fail to pay it should be fully prosecuted. A slap on the wrist simply isn’t good enough."

The Coalition changed the law in October 2013 to make it easier to name and shame minimum wage "offenders".

It took two attempts for Lord Beecham, a councillor and former Local Government Association chairman, to squeeze an answer from Treasury minister Baroness Neville-Rolfe.

When he asked in October 2016 how many firms named under the scheme since 2013 had been prosecuted, she gave no figure but said criminal probes were "reserved for the most serious cases of non-compliance."

When he asked again for "the number of criminal prosecutions that have been initiated in relation to the 700 employers named and shamed", she admitted this week: "No criminal prosecutions were initiated against these employers."

(Image: Getty)

Baroness Neville-Rolfe insisted civil action had been taken against all 687 firms named under the scheme since 2013, leading to almost £1.4m in penalties.

And she said firms had been told to refund £3.5m in underpayments to workers - something which "will not necessarily" happen in a criminal case.

The Tory minister said in a written statement: "The Government has named 687 employers for failing to pay at least the appropriate minimum wage rate to their workers, since the inception of our naming scheme in October 2013.

"Public naming represents the final element of the civil enforcement process. No criminal prosecutions were initiated against these employers.

"The Government’s priority is to ensure low paid workers receive the money they are owed, as quickly as possible. Civil proceedings are generally the most effective means of achieving this.

"However, where there is evidence that an offence has been committed the case will be considered for criminal investigation, which may lead to prosecution."

Business minister Margot James published the "largest ever" list in August 2016 of nearly 200 employers accused of failing to pay workers the minimum wage.

(Image: Getty)

Topping the August 2016 list was San Lorenzo Ltd in Wimbledon, London, which was accused of owing £99,542 to 30 workers.

In second and third place were Premier Recruitment Ltd in Derby, accused of owing £34,797 to 424 workers, and Regis UK Ltd in Coventry, accused of owing £25,712 to 604 workers.

Football club Brighton & Hove Albion was accused of owing £2,862 to one worker while Blackpool FC was accused of owing £518 to one worker.

Other employers named included care homes, nurseries, builders, plumbers, caterers and hairdressers.

High Street name Poundstretcher Ltd was also said to owe £183 to two workers in Huddersfield.

At the time Ms James said: "It is not acceptable that some employers fail to pay at least the minimum wage their workers are entitled to. So we’ll continue to crack down on those who ignore the law, including by naming and shaming them."

Last year the Guardian reported that three firms had been prosecuted under minimum wage laws in two and a half years.

Asked to clarify the apparent discrepancy by the Mirror, HM Revenue and Customs said since 2007 there have been 13 successful prosecutions overall for minimum wage offences, four of which were in 2016.

The Mirror asked officials to clarify if these were separate firms that were not exposed as part of the 'name and shame' scheme, and is awaiting an answer.

An HMRC spokesman said: "HMRC continue to crack down on employers who ignore the law, ensuring that their employees receive the wages they are entitled to.

“Businesses who fail to comply with the NMW or NLW can be punished with fines of up to 200% of the arrears owed, risk being named in the national press, and, for the worst offences, a criminal prosecution.

“We will always take action where we believe an employer is not paying its workers the NMW or NLW to make sure every worker receives what they are legally entitled to.”