UK Chancellor Proposes Tax Hike on Online Giants

Chancellor of the Exchequer Rachel Reeves is contemplating an increase in taxes for online giants like Amazon to support struggling UK high street shops, with proposals to be unveiled in her budget on October 30. The potential changes to the business rates system aim to level the playing field between physical retailers and e-commerce firms, addressing concerns that the current system disadvantages brick-and-mortar stores. Reeves is also considering reducing tax bills for shops, leisure, and hospitality sectors as part of a broader financial overhaul. As the Labour Party's first spending plan in 14 years, these proposals are anticipated to raise around £40 billion to address a budgetary gap left by the previous Conservative government. Industry leaders have called for reforms, emphasizing the need for a fairer tax structure that supports local businesses while ensuring adequate funding for local authorities. The Treasury and Amazon have not commented on these developments.