Reeves REFUSES to rule out future tax raids despite backlash: 'Not going to write 5 years of Budgets!''

During a speech in Oxfordshire this morning, Reeves offered an olive branch to the business community following her controversial Autumn Budget decisions, which included raising the National Living Wage.

However, she stopped short of committing to no more tax rises on employers in future fiscal statements with the upcoming Spring Budget only weeks away on March 26.

When asked by a journalist if the Labour Government can guarantee no more tax rises on business, Reeves responded: "I'm not going to write five years' worth of budgets in the first six months of office".

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She noted that her October 30 fiscal statement "was a once in a generation Budget" to course correct the struggling economy that was inherited from the last Conservative Government.

Businesses have spoken out particularly over Labour's decision to raise the employer National Insurance contributions from 13.8 per cent to 15 per cent, which comes into effect from April 2025.

A survey of chief financial officers at 52 leading retailers by the British Retail Consortium (BRC) found businesses have serious concerns about trading this year in the wake of the tax raid.

When asked how they would be react to the increases in employers’ National Insurance contributions, two-thirds stated they would raise prices (67 per cent) on consumers.

Helen Dickinson, Chief Executive at the BRC, said: "With the Budget adding over £7bnILLION to their bills in 2025, retailers are now facing into the difficult decisions about future investment, employment and pricing.

"As the largest private sector employer, employing many part-time and seasonal workers, the changes to National Insurance have a disproportionate effect on both retailers and their supply chains, who together employ 5.7 million people across the country.

"Retailers have worked hard to shield their customers from higher costs, but with slow market growth and margins already stretched thin, it is inevitable that consumers will bear some of the burden.

"The majority of retailers have little choice but to raise prices in response to these increased costs, and food inflation is expected to rise steadily over the year. Local communities may find themselves with sparser high streets and fewer retail jobs available."

Despite anxiety over the Chancellor's tax agenda, Reeves said she "won’t apologise for wanting to reform how regulation works in Britain” to improve the environment for business growth.

When asked whether she believes intervening in independent regulation is good for the country, the Chancellor said: “It’s up to the Government to set the framework, but I think that businesses probably know what is best for international investment […] into the UK.

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"And what businesses – big and small – say to me all the time: a combination of the huge array of regulations, the number of consultees that they have to consult, the judicial review process, but also the conflicting regulations and rules that you have from different regulators over the same entity or the same investment, just creates confusion.

"There’s a lack of predictability in our regulators which is bad for business and bad for our economy.

"So, I won’t apologise for wanting to reform how regulation works in Britain. If we’re going to grow the economy, we need to reform the regulators too, they need to be part of this growth mission."