Keir Starmer woos top bosses ahead of tax-heavy budget

"Leaders from some of Britain's most influential companies were ushered into Downing Street on Wednesday evening as Sir Keir Starmer sought to shore up relations with business ahead of what is widely expected to be a painful, tax-raising budget later this month. Chief executives from NatWest, the banking giant; FTSE 100 software group Sage; Marks & Spencer; housebuilder Taylor Wimpey; and renewable powerhouse Octopus Energy were among those invited to No 10 for an informal reception with the prime minister."

"The gathering formed part of an effort to steady nerves across corporate Britain as the Treasury prepares a budget designed to plug a £30 billion hole in the public finances. The chancellor, Rachel Reeves, will deliver her statement on 26 November - and expectations are grim. Businesses are bracing for a new round of tax rises at a time when relations between the government and industry are already strained."

"Reeves's first budget, delivered in October last year, sparked anger after employer national insurance and the minimum wage were pushed up, driving costs sharply higher for companies. For many bosses, that announcement torpedoed much of the goodwill Labour had rebuilt with industry after its bruising relationship with business under Jeremy Corbyn's leadership. Labour had worked hard before the general election to reposition itself as the party of economic stability and pragmatic growth."

Keir Starmer hosted senior corporate leaders at Downing Street to steady business nerves ahead of a budget expected to raise taxes to fill a £30 billion fiscal gap. Chief executives from major firms including NatWest, Sage, Marks & Spencer, Taylor Wimpey and Octopus Energy attended an informal reception. Chancellor Rachel Reeves will present the budget on 26 November amid expectations of further tax increases. Reeves's prior measures raised employer national insurance and the minimum wage, prompting business anger and eroding goodwill Labour had built. The government warns of unavoidable difficult choices to restore public finances while managing strained industry relations.

Read at Business Matters