BBC's Newsnight suggested it may offer tax breaks to firms paying above the current level and force companies above a certain size or profit level to pay their workers more than the legal minimum.
But, according to last night's edition of the programme, there are fears within the party it may drive away business leaders.
The proposals are being mooted as part of the party's attempt to deal with the problem of low wages and underscore the Tories' commitment to make work pay.
Further welfare reforms are expected to be announced within weeks, according to the report, but the party believes any further tightening of Britain's benefits system must also be met with greater support for employees.
The party is also said to want to ensure economic recovery is enjoyed by those on low salaries as well as those at the high end of the scale.
Conservative insiders are thought to feel this would hit Labour's charge that the Government is presiding over a recovery for the highest earners.
Supporters want Prime Minister David Cameron to include an announcement on raising the minimum wage in his speech to the Tory Party conference at the end of the month, or later in the year.