Last-ditch plea from business leaders ahead of tomorrow’s Budget
Hikes to National Insurance contributions (NICs) and statutory minimum wage levels must be reversed by the Chancellor, a “bellwether” survey of business bosses has revealed.
The poll of leaders from multiple sectors found 84% of the companies questioned want to see Rachel Reeves U-turn on the increases she announced a year ago in her long-awaited autumn Budget tomorrow (Wed).
Two thirds of responding firms said NICs and minimum wage increases have already had a negative impact on their performance.
Three quarters of management teams would not vote Labour if election was held today
Almost half of firms (47%) are worried they will struggle to survive the next five years – a 3% increase on a similar report, based on a study commissioned by Telford-based personalised workwear specialist MyWorkwear, released in February this year.
In a blunt message to PM Keir Starmer and his Chancellor, three quarters of management teams surveyed said they would not vote for Labour if a snap-election was held tomorrow.
“When we asked about the impact of NICs and employee rights bill in our survey in February, 72% of respondents feared a negative change and these latest results prove that they were right to be worried,” said James Worthington, co-owner of MyWorkwear.
“As a workwear provider, we tend to be a great bellwether for the economy, and we are seeing firsthand how businesses are struggling and having to contend with an incredibly challenging time.”
He added: “With the budget looming on the horizon, the results indicate that the current government can’t afford to get on the wrong side of business again with new tax rises and more regulation.
“Three quarters already appears to have had enough of current policies and feel they are strangling the life out of the economy.”
MyWorkwear spoke with 128 business leaders as part of its quarterly Business Confidence Report.
