From Yahoo Finance: 2025-03-26 10:57:00

Rupert Soames, chairman of the CBI, says UK bosses are upset with Labour’s tax increases and workers’ rights bill. Soames praised the government for some policies but criticized the £25bn National Insurance hike. Angela Rayner’s bill pushes for flexible working as the default, which worries businesses. The shadow business secretary called the bill a “horror show”.

Labour’s Rachel Reeves promised to be pro-growth and pro-business, seeking partnership with businesses. Labour aims to kickstart the economy while being pro-worker and pro-business. However, Reeves’ National Insurance increase worries businesses, making it costly to hire lower-paid staff. UKHospitality labeled the move as regressive, while bosses fear the Employment Rights Bill’s impact on red tape and tribunal claims.

Ben Willmott of the CIPD warns that the Employment Rights Bill could hinder employment efforts and deter employers from hiring. Anna Leach of the IoD expects increased costs and risks of hiring. The OBR predicts negative economic impacts from the bill and will assess the policy’s full impact in the autumn. The bill faces scrutiny in the House of Lords.



Read more at Yahoo Finance: Businesses ‘p—ed off’ with Labour, says CBI chairman