More than 70 businesses, including Greggs, Amazon, Boots, Lidl and Primark, have voiced their concern to Chancellor Rachel Reeves. In a letter to the Chancellor, the group said the change means price hikes are a “certainty” and job losses are “inevitable”. Ms Reeves revealed a £25.
7 billion change to employers’ national insurance contributions in last month’s Budget, which would increase the rate of the tax and the threshold at which firms must pay. Now, businesses are claiming the combined raft of packages announced in the budget including national insurance rises, packaging levies and increases to the national minimum wage could cost the industry more than £7 billion each year. The letter reads: “We appreciate Government’s focus on improving the fiscal situation and investing in public services; we also recognise the role businesses have in supporting this.
But, the sheer scale of new costs and the speed with which they occur create a cumulative burden that will make job losses inevitable, and higher prices a certainty.” The group said they would “welcome” the chance to meet with Ms Reeves and recommended potential changes including phasing the introduction of the National Insurance lower earnings threshold, delaying timelines for packing levy implementations and revisiting business rates proposals announced in the Budget. “By adjusting the timings of some of these changes, the Government would give businesses time to adjust and greatly mitigate th.
