The British Independent Retailers Association (Bira) has called on the Treasury to explain why ministers do not regard employers as working people, after the chief secretary to the Treasury said employers are not working people.
Comments reignite tax row
Speaking on GB News on Sunday, Emma Reynolds said: “I don’t think employers are working people, they are companies.” The remarks have reignited the row over Labour’s 2024 manifesto pledge not to raise taxes on working people, after the increase in employer National Insurance contributions in October 2024 was defended on the grounds that it fell on employers rather than employees.
Bira said the comments have also prompted a strong reaction from independent retailers on its member forum.
Retailers respond
Andrew Goodacre, chief executive of Bira, said: “Once again we have the government trying to tell us that hard-working independent retailers are not considered working people.
“I hoped that a new prime minister and a new chancellor would bury this opinion, as it is quite ridiculous. Retailers have in fact never worked harder for less reward.”
“These are also the same working people who invest in their high street by employing local people and creating a reason to visit and spend money on high streets.
“It is wrong to use semantics to explain a disappointing perspective on how we should interpret the phrase ‘working people’.
“We would like to see a full explanation from the Treasury on this issue, as it is an insult to the many thousands of shop owners across the UK.”
Next steps
Bira, which works with over 6,000 independent retailers across the UK, said it will continue to press the government for clarity on its position.
