Britain’s biggest retailers say job losses ‘inevitable’ after Budget tax hikes

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. More than 70 businesses, including Tesco, Asda and Sainsbury’s, have told Rachel Reeves in an open letter that the changes announced in last month’s Budget mean price hikes are a “certainty”. “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 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. Sainsbury’s boss Simon Roberts said, earlier this month, that the tax hikes would mean higher inflation for shoppers, while Asda warned that it would face an extra £100 million in costs thanks to the Budget. Sentiments were echoed by another joint letter organised by UK Hospitality earlier this month, with some bosses revealing minimum wage jobs could become “unviable” as a result of the new national insurance contributions threshold.