Usdaw joins retail giants in business rates plea as 90,000 jobs at risk

General RetailHuman ResourcesNews

Usdaw has joined some of the UK’s biggest retailers in calling for business rates relief, warning that 90,000 retail jobs could be lost by 2031.

The shopworkers’ union has teamed up with the Retail Jobs Alliance, which includes Tesco, Sainsbury’s, Asda, Morrisons, Marks & Spencer, Primark and Kingfisher, to urge the government to exempt all shops from the higher business rates multiplier.

New research from the alliance suggested that existing financial pressures could lead to around 90,000 job losses over the next five years, even without further increases in business rates.

The forecast was based on employment trends recorded by HMRC and the Office for National Statistics since 2023.

The group warned that any further increase to the higher business rates multiplier could push job losses beyond that figure.

Around a third of UK retail workers are employed across approximately 4000 stores with a rateable value exceeding £500,000, putting larger stores at the centre of the debate.

According to the alliance, retail accounts for 21 per cent of business rates payments despite contributing just five per cent of UK GDP.

Usdaw general secretary Joanne Thomas said: “Job security is a key priority for our members.”

She welcomed the government’s commitment to developing a high streets strategy but insisted it must include exempting large retail premises from the higher rates multiplier.

The union also pointed to Labour’s manifesto commitment to level the playing field between physical retailers and online businesses.

Retail Jobs Alliance spokesperson Martin Beck warned that further business rates increases would affect retailers’ ability to protect jobs, invest in stores and keep prices down.

He said: “Retailers are already absorbing additional costs, and further increases in business rates would inevitably affect their ability to protect jobs, invest in stores and keep prices down.”

The intervention follows a motion passed at Labour Party Conference calling for bricks-and-mortar retailers to be exempt from the higher multiplier.

The government introduced business rates reductions for pubs, clubs and live music venues, prompting concerns that retailers could face a disproportionate share of the tax burden.

The alliance warned that larger stores play a crucial role in supporting town centre footfall and employment, with further cost increases threatening investment in already struggling high streets.

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Usdaw joins retail giants in business rates plea as 90,000 jobs at risk

Usdaw has joined some of the UK’s biggest retailers in calling for business rates relief, warning that 90,000 retail jobs could be lost by 2031.

The shopworkers’ union has teamed up with the Retail Jobs Alliance, which includes Tesco, Sainsbury’s, Asda, Morrisons, Marks & Spencer, Primark and Kingfisher, to urge the government to exempt all shops from the higher business rates multiplier.

New research from the alliance suggested that existing financial pressures could lead to around 90,000 job losses over the next five years, even without further increases in business rates.

The forecast was based on employment trends recorded by HMRC and the Office for National Statistics since 2023.

The group warned that any further increase to the higher business rates multiplier could push job losses beyond that figure.

Around a third of UK retail workers are employed across approximately 4000 stores with a rateable value exceeding £500,000, putting larger stores at the centre of the debate.

According to the alliance, retail accounts for 21 per cent of business rates payments despite contributing just five per cent of UK GDP.

Usdaw general secretary Joanne Thomas said: “Job security is a key priority for our members.”

She welcomed the government’s commitment to developing a high streets strategy but insisted it must include exempting large retail premises from the higher rates multiplier.

The union also pointed to Labour’s manifesto commitment to level the playing field between physical retailers and online businesses.

Retail Jobs Alliance spokesperson Martin Beck warned that further business rates increases would affect retailers’ ability to protect jobs, invest in stores and keep prices down.

He said: “Retailers are already absorbing additional costs, and further increases in business rates would inevitably affect their ability to protect jobs, invest in stores and keep prices down.”

The intervention follows a motion passed at Labour Party Conference calling for bricks-and-mortar retailers to be exempt from the higher multiplier.

The government introduced business rates reductions for pubs, clubs and live music venues, prompting concerns that retailers could face a disproportionate share of the tax burden.

The alliance warned that larger stores play a crucial role in supporting town centre footfall and employment, with further cost increases threatening investment in already struggling high streets.

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