Business leaders are urging Chancellor Rachel Reeves to refrain from implementing new tax measures ahead of her upcoming budget. Asda chairman Allan Leighton emphasized that the Treasury should focus on investing in the UK instead of “taxing everything in some way, shape or form.”
With the economy facing serious challenges and a potential £50 billion shortfall in public finances, government officials are exploring various options to generate revenue. Among the proposals being considered are a “landlord tax,” which would impose National Insurance on rental income, and a “mansion levy” that would apply capital gains tax to high-value property sales.
Ms. Reeves is also reportedly considering increasing business rates for larger establishments, which would raise costs for major supermarkets and retailers. Leighton criticized these proposals as “very unhelpful,” joining over 60 other retail executives, including leaders from Tesco, Sainsbury’s, and Boots, in cautioning that higher taxes could undermine her efforts to enhance living standards in the UK. He noted that such measures complicate matters and contribute to inflation, ultimately impacting consumers’ finances.
Credit to : UK BULLETIN