Rachel Reeves’ Budget tax raid sparks fastest rate of job cuts since financial crisis THE Budget tax raid on businesses has led companies to slash jobs at the fastest rate since the financial crisis, a survey shows.
The S&P survey also indicated more firms would have to raise prices to cover higher costs, with the average prices increasing at the fastest pace for 18 months.
Chris Williamson, from S&P Global Market Intelligence, said: “The loss of confidence, combined with widespread concerns over higher staff costs associated with the Budget, pushed employment sharply lower.”.
It came amid a record 50.2 per cent rise in UK businesses showing signs of “critical” financial distress in the final three months of last year, according to insolvency firm Begbies Traynor.
S&P data also signalled that while growth in the services sector was offsetting a manufacturing dip, businesses were already warning of a drop in new work and subdued demand.
