Primark proprietor delivers warning to Rachel Reeves over ‘mistaken’ fee adjustments

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Your assist makes all of the distinction. Learn extra The top of Primark’s father or mother firm has issued a stark warning to the federal government, branding proposed adjustments to enterprise charges as "mistaken" and a major burden on UK excessive avenue retailers.

George Weston, the billionaire chief of Related British Meals (ABF), informed the PA information company that the Labour Authorities "shouldn't enhance taxes on companies any extra" within the forthcoming November Finances.

His feedback come as Chancellor Rachel Reeves faces the daunting activity of boosting Treasury revenues to deal with a possible £40 billion deficit in state funds.

This monetary strain has intensified considerations that companies might be focused with additional tax hikes, notably given prior authorities pledges to keep away from growing taxes for working people.

Companies have already contended with a sequence of rising prices, together with will increase to nationwide insurance coverage contributions, the nationwide minimal wage, and the Prolonged Producer Duty (EPR) packaging tax.

“Will increase to labour and packaging have already had an impression and it's important to not make it more durable for companies trying to make investments and create jobs,” Mr Weston mentioned.

“My message to Authorities is that that ought to not enhance taxes on companies any extra.”

<img src="https://static.independent.co.uk/2025/09/11/8/50/PA-23918794.jpeg" srcset="https://static.independent.co.uk/2025/09/11/8/50/PA-23918794.jpeg?quality=75&width=320&auto=webp 320w, https://static.independent.co.uk/2025/09/11/8/50/PA-23918794.jpeg?quality=75&width=640&auto=webp 640w" loading="lazy" alt="George Weston, the billionaire boss of Associated British Foods (ABF), has warned the Government that proposed business rates changes are “mistaken” and heap pressure on big stores on UK high streets" class="sc-1mc30lb-0 ggpMaE inline-gallery-btn"/> open picture in gallery

George Weston, the billionaire boss of Related British Meals (ABF), has warned the Authorities that proposed enterprise charges adjustments are “mistaken” and heap strain on huge shops on UK excessive streets (PA) Many hospitality, retail and leisure companies throughout the UK have additionally seen the price of enterprise charges – the tax on industrial properties – enhance this yr after a earlier 75 per cent low cost on charges was lowered to 40 per cent in April.

The Authorities can also be introducing an extra shake-up to enterprise charges in April subsequent yr designed to cut back the charges payments of small excessive avenue companies.

Nevertheless, Mr Weston mentioned that Primark will face a considerably larger invoice in consequence, with bigger retailers and supermarkets having to pay extra with the intention to assist cowl the associated fee.

“We're happy that Authorities had recognised that there have been issues with the enterprise charges system,” he mentioned.

“However the adjustments imply there's going to be explicit strain on huge shops that are wanted to anchor excessive streets, and I feel that was a really mistaken coverage.

“We might like to see that reconsidered.”

<img src="https://static.independent.co.uk/2025/09/05/13/a4107010d0a4f81644b057cf2dfafa1aY29udGVudHNlYXJjaGFwaSwxNzU3MTU4NDQ5-2.64840990.jpg" srcset="https://static.independent.co.uk/2025/09/05/13/a4107010d0a4f81644b057cf2dfafa1aY29udGVudHNlYXJjaGFwaSwxNzU3MTU4NDQ5-2.64840990.jpg?quality=75&width=320&auto=webp 320w, https://static.independent.co.uk/2025/09/05/13/a4107010d0a4f81644b057cf2dfafa1aY29udGVudHNlYXJjaGFwaSwxNzU3MTU4NDQ5-2.64840990.jpg?quality=75&width=640&auto=webp 640w" loading="lazy" alt="Primark runs 460 stores globally, with more than 190 of these in the UK" class="sc-1mc30lb-0 ggpMaE inline-gallery-btn"/> open picture in gallery

Primark runs 460 shops globally, with greater than 190 of those within the UK (PA Archive) Primark runs 460 shops globally, with greater than 190 of those within the UK.

It got here after the British Retail Consortium (BRC) warned on Friday that 400 large-format shops are in danger in the event that they had been included within the Authorities’s new enterprise charges surtax, which have an effect on premises with a rateable worth over £500,000.

Consultants have mentioned round 363 massive retailers, excluding supermarkets, are anticipated to see their charges payments enhance in April subsequent yr in consequence.

International tax agency Ryan has forecast that an anticipated surtax would value a majority of these retailers an additional £45.8 million a yr in enterprise charges.

Alex Probyn, observe chief of property tax, at Ryan, mentioned: “This can be a stealth tax penalising the very companies that anchor our excessive streets and supply mass employment.

“The most important shops are already main contributors to the tax base, and an extra levy will undermine their potential to speculate, develop and assist native economies.