British Chambers of Commerce says firms need support
Small companies cannot be expected to shoulder the cost of tackling the UK’s growing workforce health crisis, the head of the British Chambers of Commerce has warned.
Shevaun Haviland, the BCC’s director-general, said many employers were already under pressure from higher national insurance bills, minimum wage rises and looming employment reforms.
“We are pretty clear that business can’t carry any more cost,” she told the Financial Times.
Rising sickness pressures
The UK is grappling with record levels of sickness absence and a sharp rise in young people out of work due to poor mental health. Around 300,000 people leave jobs each year because of long-term health conditions. Yet only 30% of BCC members currently provide occupational health support, with smaller firms often lacking the resources.
Haviland said employers wanted to help staff but faced “increasing cost and complexity”. She warned that new workplace protections risked making hiring more daunting, especially for small firms.
“If it looks risky, you just don’t do it,” she said.
Call for government help
The BCC report published on Thursday urged ministers to offer tax breaks for health insurance, reinstate a rebate on statutory sick pay, and fund mental health training through the growth and skills levy. It also backed a youth wage subsidy scheme to encourage hiring of 16-24 year-olds with health conditions, echoing support provided during the pandemic.
Think-tanks such as the Fabian Society have suggested a levy on large employers to fund a national occupational health service, but Haviland insisted small businesses must not be burdened further.
“Every business can tell you to the pound how much extra they are paying in national insurance this year. We can’t add more cost,” she said.
