It's official - Labour's Jobs Tax has been shown to be increasing unemployment, lowering wages and job vacancies and reducing economic growth.
Richard Fuller MP, Shadow Chief Secretary this week commented on the latest ONS figures 1 on employment saying:
The Chancellor has tried to camouflage her ineptitude by blaming the legacy of the last government and the impact of Donald Trump's tariffs, but everyone knows the truth. Even the Guardian Newspaper, which can hardly be accused of being pro-Tory, has pointed the finger of blame squarely at Rachel Reeves:
"𝑻𝒉𝒐𝒔𝒆 𝒘𝒉𝒐 𝒇𝒆𝒂𝒓𝒆𝒅 𝒕𝒉𝒆 𝒓𝒊𝒔𝒆 𝒊𝒏 𝒆𝒎𝒑𝒍𝒐𝒚𝒆𝒓𝒔’ 𝒏𝒂𝒕𝒊𝒐𝒏𝒂𝒍 𝒊𝒏𝒔𝒖𝒓𝒂𝒏𝒄𝒆 𝒄𝒐𝒏𝒕𝒓𝒊𝒃𝒖𝒕𝒊𝒐𝒏𝒔 (𝑵𝑰𝑪𝒔) 𝒘𝒐𝒖𝒍𝒅 𝒍𝒆𝒂𝒅 𝒕𝒐 𝒋𝒐𝒃 𝒍𝒐𝒔𝒔𝒆𝒔 𝒂𝒓𝒆 𝒃𝒆𝒊𝒏𝒈 𝒑𝒓𝒐𝒗𝒆𝒅 𝒓𝒊𝒈𝒉𝒕. 𝑻𝒉𝒆 𝒖𝒏𝒆𝒎𝒑𝒍𝒐𝒚𝒎𝒆𝒏𝒕 𝒓𝒂𝒕𝒆 𝒄𝒍𝒊𝒎𝒃𝒆𝒅 𝒃𝒚 0.2 𝒑𝒆𝒓𝒄𝒆𝒏𝒕𝒂𝒈𝒆 𝒑𝒐𝒊𝒏𝒕𝒔 𝒕𝒐 4.5% 𝒃𝒆𝒕𝒘𝒆𝒆𝒏 𝑱𝒂𝒏𝒖𝒂𝒓𝒚 𝒂𝒏𝒅 𝑴𝒂𝒓𝒄𝒉 – 𝒕𝒉𝒆 𝒉𝒊𝒈𝒉𝒆𝒔𝒕 𝒍𝒆𝒗𝒆𝒍 𝒇𝒐𝒓 𝒏𝒆𝒂𝒓𝒍𝒚 𝒇𝒐𝒖𝒓 𝒚𝒆𝒂𝒓𝒔.
𝑪𝒐𝒏𝒄𝒆𝒓𝒏𝒔 𝒕𝒉𝒂𝒕 𝒕𝒉𝒆 𝒏𝒖𝒎𝒃𝒆𝒓 𝒐𝒇 𝒗𝒂𝒄𝒂𝒏𝒄𝒊𝒆𝒔 𝒘𝒐𝒖𝒍𝒅 𝒅𝒓𝒐𝒑 𝒉𝒂𝒗𝒆 𝒂𝒍𝒔𝒐 𝒄𝒐𝒎𝒆 𝒕𝒓𝒖𝒆. 𝑬𝒎𝒑𝒍𝒐𝒚𝒆𝒓𝒔 𝒂𝒓𝒆 𝒓𝒆𝒇𝒖𝒔𝒊𝒏𝒈 𝒕𝒐 𝒕𝒂𝒌𝒆 𝒐𝒏 𝒏𝒆𝒘 𝒔𝒕𝒂𝒇𝒇, 𝒑𝒖𝒔𝒉𝒊𝒏𝒈 𝒕𝒉𝒆 𝒗𝒂𝒄𝒂𝒏𝒄𝒚 𝒓𝒂𝒕𝒆 𝒃𝒂𝒄𝒌 𝒕𝒐𝒘𝒂𝒓𝒅𝒔 𝒊𝒕𝒔 𝒑𝒓𝒆-𝒑𝒂𝒏𝒅𝒆𝒎𝒊𝒄 𝒍𝒆𝒗𝒆𝒍."2
Every economist understands that fewer people in work means lower tax revenues and probably an increase in benefit payments. It takes a staggering level of naivety on the Chancellor's part to believe that a £40 billion tax raid on businesses would have no impact on their behaviour but sadly that seems to be the mindset of this Labour government and their advisors.
Their ideological policy-making has seen the same negative consequences, with millionaires leaving the country at a rate of one every 45 minutes, pensioners going cold and independent schools being forced to close due to the Education Tax. For a budget that was supposedly all about growth, the Chancellor has managed to achieve the exact opposite.
You can watch Richard's views on the latest figures at https://youtu.be/ynQ3DmzsGQM?si=Ap89_AoUOO7equaE
In December, Richard led the debate by the Official Opposition to Labour’s jobs tax when the Bill came before the House of Commons. He warned at the time that a large increase in employer National Insurance contributions would result in lower wages, fewer jobs and less economic growth. Read more at: https://www.richardfuller.co.uk/news/richard-leads-opposition-increase-employers-national-insurance-debate
