M&S CEO Stuart Machin expresses concerns over potential tax increases and government policies.
- Chancellor Rachel Reeves is contemplating raising national insurance contributions by employers.
- Machin argues these tax hikes are a simplistic approach to improving public finances.
- Concerns raised about the government diluting Labour’s growth-focused manifesto pledges.
- Machin calls for a commitment to reducing regulatory burdens on businesses.
M&S CEO Stuart Machin has voiced his apprehensions regarding the government’s consideration of increased taxes on employers. He believes such actions are a simplistic strategy for managing the public purse. In recent news, it has been suggested that Chancellor Rachel Reeves may implement hikes in employer national insurance contributions, a move Machin criticises as a short-sighted financial tactic.
Machin has openly declared his scepticism about these potential tax rises, describing them as ‘the easy way out.’ Highlighting the impact on economic recovery, he fears that such measures could exacerbate the financial strain on customers and employees already grappling with the rising cost of living. He emphasises, “Raising these taxes isn’t the hard decision, it’s the easy way out.”
Referring to Labour’s manifesto, Machin stresses the importance of maintaining the integrity of its key pledges. He suggests that the realities of governance might dilute ambitious initiatives such as business rate overhauls and enhanced flexibility for apprenticeship funds.
Critical of existing regulatory challenges, Machin urges the government to adhere to its promises of investment facilitation. He insists on the necessity to eliminate unnecessary bureaucratic hurdles that escalate costs for businesses without delivering substantial public benefits.
His concerns resonate with those of Sainsbury’s CEO Simon Roberts, who has also called for substantial business rate reforms. Roberts pointed out that Sainsbury’s faces significant tax liabilities on its properties, nearly equalling its operational profits.
Stuart Machin urges the government to consider the broader economic impact of tax policies and maintain commitment to its growth promises.
