Business Leader Condemns Proposed Welfare Change
The founder of a major retail company has issued a stark warning to the government, labelling reported plans to scrap the two-child benefit cap as "madness" just days before the crucial Autumn Budget. John Roberts, founder and chief executive of electricals retailer AO, spoke out after what he described as a tax raid on businesses cost his firm £4 million.
Call for Tough Decisions
Mr Roberts delivered a blistering assessment of the current administration, stating that Labour must "man up" and make "some difficult decisions" in Wednesday's Budget. He accused ministers of treating business as a "cash cow for welfare" and claimed the cabinet "couldn't run a bath let alone a business."
"They have no business experience or appreciation in this government," he added, in comments that highlight the growing tension between the new administration and the business community.
Budget Pressures and Welfare Reform
The warning comes as Chancellor Rachel Reeves prepares to deliver a Budget that must fill a £20 billion fiscal hole. Whitehall sources suggest the chancellor is unlikely to attempt further significant savings on the welfare bill in this Budget, having already scaled back cuts to disability benefits earlier this year following a substantial Labour revolt.
In a weekend article for the Sunday Times, Ms Reeves signalled her continued commitment to "reform" of the welfare system, though substantial changes aren't expected until after recommendations from two key reviews are received.
These include Labour minister Stephen Timms's review of disability benefits and former cabinet minister Alan Milburn's review of young people not in employment.
The chancellor has emphasised that her Budget will focus on helping people with the cost of living and targeting inflation, while maintaining commitments to the triple lock for pensioners and rebuilding the NHS.
In the run-up to the Budget, Ms Reeves has also pushed back against critics, saying she is "sick of people mansplaining how to be chancellor" after facing weeks of criticism from both the right and left of the political spectrum.
