CEOs Push Britain’s Burnham to Cut Taxes and Hold Regular Talks

Skip to Content News Archives Economy Energy Oil & Gas Renewables Electric Vehicles Mining Commodities Agriculture Real Estate Mortgages Mortgage Rates Finance Banking Insurance Fintech Cryptocurrency Work Wealth Smart Money Wealth Management Investor Personal Finance Family Finance Retirement Taxes High Net Worth FP Comment Executive Women Puzzmo Newsletters Financial Times Business Essentials More Innovation Information Technology FP500 Podcasts Small Business Lives Told Tails Told Shopping Financial Post Store Obituaries Place a Notice Advertising Advertising With Us Advertising Solutions Postmedia Ad Manager Sponsorship Requests Classifieds Place a Classifieds ad Working Profile Settings My Subscriptions Saved Articles My Offers Newsletters Customer Service FAQ News Economy Energy Mining Real Estate Finance Work Wealth Investor FP Comment Executive Women Puzzmo Newsletters Financial Times Business Essentials This advertisement has not loaded yet, but your article continues below.HomePMN BusinessCEOs Push Britain's Burnham to Cut Taxes and Hold Regular TalksChief executive officers of some of the UK’s best-known companies are demanding that tax cuts for businesses be at the top of the agenda for Prime Minister Andy Burnham and his new government, as they grapple with higher costs.Author of the article:Maddie Parker, Louise Moon and Jacob Reid You can save this article by registering for free here. Or sign-in if you have an account.Tim Martin Photographer: Simon Dawson/Bloomberg Photo by Simon Dawson /Photographer: Simon Dawson/Bloom(Bloomberg) — Chief executive officers of some of the UK’s best-known companies are demanding that tax cuts for businesses be at the top of the agenda for Prime Minister Andy Burnham and his new government, as they grapple with higher costs.THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLYSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.SUBSCRIBE TO UNLOCK MORE ARTICLESSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.REGISTER / SIGN IN TO UNLOCK MORE ARTICLESCreate an account or sign in to continue with your reading experience.Access articles from across Canada with one account.Share your thoughts and join the conversation in the comments.Enjoy additional articles per month.Get email updates from your favourite authors.THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one accountShare your thoughts and join the conversation in the commentsEnjoy additional articles per monthGet email updates from your favourite authorsSign In or Create an AccountThe previous administration was criticized for policies that were perceived to be anti-business, such as raising national insurance contributions, a payroll tax. Other moves, such as a higher minimum wage, have also hit companies contending with rising inflation and high energy costs.After Burnham’s move to cut business rates — a commercial property tax — for pubs, clubs and live music venues, other sectors are calling for help. Some business leaders want the new government to hold frequent talks with executives and sound them out ahead of any policy decisions. Get the latest headlines, breaking news and columns.By signing up you consent to receive the above newsletter from Postmedia Network Inc.A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of Top Stories will soon be in your inbox.We encountered an issue signing you up. Please try againHere’s what they have to say:Pubs might have received relief on business rates but the retail sector needs similar help, according to the CEO of the electronics company.“We need less red tape and lower costs. Why not start with business rates?” Baldock said. “The PM says rates need urgent reform, and that’s welcome. Now’s his chance to abolish this outdated, unfair tax for good.”Lower costs will allow Currys to invest. “If government makes it cheaper and easier to employ people, we will employ more.”Thomas Woldbye, Heathrow Airport Ltd.Under Keir Starmer, the government made efforts to push through larger infrastructure projects that have faced long delays. That includes backing Heathrow’s £49 billion ($65 billion) plan to build a third runway to ease capacity constraints at the UK’s largest aviation hub.CEO Woldbye is seeking continued support for the airport’s expansion, including allowing Heathrow to build and operate the project, rather than a rival. Only Heathrow can do the job, he said. “If you’re saying anything else, then you push the project years down the road.”Andrea Baldo, Mulberry Group PlcThe luxury industry has repeatedly called for a return for VAT-free shopping for tourists to the UK ever since it was scrapped in 2021 — without much luck. Baldo, the boss of the posh handbag maker, is going to push for its reintroduction. That would “unlock a lot of opportunities for Mulberry, but in general for British retail and also in other segments, not just in luxury but also in hospitality,” he said. “That is actually an unlock that will benefit the entire UK.”Jon Hendry Pickup, Butlin’sFollowing Burnham’s help for pubs and clubs, the rest of the hospitality sector has been left wondering whether it will be left out in the cold. A VAT cut would help stimulate sales, said Hendry Pickup, CEO of the holiday parks operator. “That’s the number one thing that he can do if he wants us to generate all those 110,000 jobs that we’ve lost as a consequence of the national insurance situation.”This advertisement has not loaded yet.This advertisement has not loaded yet, but your article continues below.Clear messaging and communication are also needed, he said. “The difficulty with the last group was that we didn’t know what was coming next,” he said. “It would help if they set out their stall as to what they’re going to do; more dialog would be great.”John Vincent, Leon Restaurants Ltd.The business rates cut for pubs is a good start but help must be extended to restaurants, according to the food chain co-founder and chief executive. Burnham’s government can improve “dialog as a starter” and then “generally stop taxing employment.” Taking national insurance contributions to “sensible levels” would also help ease the pressure.Tim Martin, J D Wetherspoon PlcBusiness rates relief will be a boost for the pub chain, which has issued four profit warnings this year. But for Martin, the founder and chairman, it doesn’t go far enough. “It’s chicken feed compared to the VAT disparity between supermarkets and pubs (and restaurants),” he said.Supermarkets don’t pay VAT on food sales, unlike pubs. He’s backing a campaign led by chef Tom Kerridge to bring the UK rate in line with other countries in Europe. “We’re right behind him.”—With assistance from Kate Duffy.Notice for the Postmedia NetworkThis website uses cookies to personalize your content (including ads), and allows us to analyze our traffic. Read more about cookies here. By continuing to use our site, you agree to our Terms of Use and Privacy Policy.