- he 10% increase in National Insurance Contributions (NICs) from 13.8% to 15%,
- The changes to the threshold, meaning staff earning only £5k a year are now in scope for employer NICs, disproportionately punishing operators who provide flexible and accessible employment for all,
- The reduction of the Business Rates relief to 40%, meaning operator’s rates will more than double,
- The rise in National Minimum Wage, bringing the total rise in the last 5 years to 50%
Steve Alton, BII CEO commented:
“Today’s statement was incredibly disappointing, delivering nothing to allay the fears of operators in our essential sector. Pubs are the very fabric of our society, and despite encouraging trading for many of our members at the beginning of the year, their profitability has been threatened yet again
“Incredibly successful operators, who serve their communities, provide flexible employment and incredible career opportunities, can be part of the growth that was at the heart of this government’s manifesto. But the current approach of taxing small businesses to the hilt, means that growth will be impossible, as operators desperately try to manage ever rising costs, being forced to cut services, opening hours and staffing levels to ensure they survive.
“Without support via a fair and reduced taxation on these bricks and mortar businesses, we stand to lose so much. They support social mobility, allowing people of all ages and from all backgrounds to access flexible employment, with incredible opportunities for career growth, regardless of qualifications.
“They are so often the key to improving mental health and social connectivity, offering local community groups a home, sponsoring grass roots sports teams, raising vital funds for charity, and caring for older and more vulnerable local people
“We have been crystal clear and consistent in our messaging to government. If you remove the barriers to growth, pubs will rapidly deliver revenue, local employment and support for supply chains and communities. Without recognition of the pressure the Autumn Budget put onto our sector, uniquely placed at the heart of every town, city and high street in the UK, they have failed communities everywhere.”
