John Lewis warns against tax raid on High Street: Budget hikes will 'rob youth of employment opportunities'

See more This is Money on Google - save us as a Preferred Source Updated: 17:00 EDT, 3 September 2026 The outgoing boss of John Lewis has warned of the ‘terrible impact’ of rising taxes as customers fret over their children staying at home because they cannot find work.Peter Ruis said a hike in business rates in next month’s Budget would hammer the High Street and economy – robbing youngsters of job opportunities.Warning that his customers are grappling with a state of ‘perma-crisis’, he said: ‘Obviously people still have money but it’s tough out there, isn’t it?‘I’m someone with graduate and teenage kids. I think I read recently there are 10,500 graduate jobs compared to 60,000 or 70,000 five or six years ago.‘So a lot of our key customers in their 40s and 50s are worrying about their kids and having them at home.’ Almost 1m people aged 16 to 24 are classed as ‘Neets’ – not in education, employment or training.Retailers fear Prime Minister Andy Burnham and Chancellor John Healey are plotting a fresh business rates raid on large shops – including stores such as John Lewis – to fund lower bills for pubs and music venues. Tax plea: Outgoing John Lewis boss Peter Ruis, pictured, said a hike in business rates in next month's Budget would hammer the High Street and wider economy Sports Direct billionaire Mike Ashley last week said the Government would be ‘simply delusional’ to heap more pressure on big retailers.Some of Britain’s biggest chains fear a rates raid could drive up the cost of living, hit jobs and investment. Shops should not pay more, they say, and they are particularly concerned that rates paid by large stores, which are deemed to have a rateable value of £500,000 or more, will be increased.Ruis, whose three-year tenure at the 162-year-old retailer ends this week, said: ‘It would have a terrible impact for all retailers. A lot of the smaller stores that won’t be affected by that are against it because they need people like us.‘John Lewis is the anchor to pretty much everywhere we are, and people drive into that town to visit us and then visit everyone else, so it’s really critical that that doesn’t happen.’Retailers argue they are well-placed to employ young people but need breathing room.Ruis said reforming business rates would help firms hire more graduates. He added: ‘I think the economy moves fastest with retail and hospitality.‘When you see the two of us going gangbusters, the economy starts to pick up.’DIY INVESTING PLATFORMSAJ BellAJ BellEasy investing and ready-made portfoliosHargreaves LansdownHargreaves LansdownFree fund dealing and investment ideasinteractive investorinteractive investorFlat-fee investing from £4.99 per monthFreetradeFreetradeInvesting Isa now free on basic planTrading 212Trading 212Free share dealing and no account feeAffiliate links: If you take out a product This is Money may earn a commission. These deals are chosen by our editorial team, as we think they are worth highlighting. This does not affect our editorial independence.Compare the best investing account for you