Manufacturers and retailers have urged the Chancellor George Osborne to help them create growth in the next month’s budget.
The British Retail Consortium (BRC) has said that the retail sector is already struggling with the amount of government imposed costs imposed on it.
Last October saw a 2.2 percent increase in the National Minimum Wage, whilst in January VAT increased by 2.5 percent. In addition to this, there are upcoming increases in national insurance contributions and business rates.
The BRC said any further financial burdens on the retail sector would “undermine its ability to maintain and create jobs” whilst stressing that their sector was central to a private sector led recovery.
Director General of the BRC Stephen Robertson said: “While it may be true that ‘the broadest shoulders should bear the biggest burden’, the retail sector, which operates on slim margins, is already seeing its load increase sharply. New impositions can only hinder retail’s ability to invest.”