Retailers Warn of Job Losses from Budget Changes

Major UK retailers, including Tesco, Amazon, and Marks & Spencer, have warned of inevitable job losses and price hikes following the government's recent Budget tax increases, which could add £7 billion in costs annually. The tax hikes include an increase in employer national insurance contributions and a rise in the minimum wage, which retailers argue will be difficult to absorb given their narrow profit margins. Retail bosses have signed a letter to Chancellor Rachel Reeves, expressing concern over the speed and scale of these changes, urging for a reconsideration or delayed implementation to mitigate impact. The government defends these measures as necessary for public service funding, but retailers fear they will lead to inflation, slower pay growth, and store closures. The British Retail Consortium organized the letter, representing over 70 businesses, emphasizing that retailers are already some of the highest taxed in the business sector. The discussion continues as businesses await potential government response and adjustments.