T4K3.news
14,000 jobs at risk in beauty industry due to tax increases
A report indicates that Labour's tax hikes may lead to significant job losses this year.
New report shows 14,000 jobs may be lost in the beauty sector due to tax increases.
Beauty industry struggles as tax hikes threaten jobs
A recent report highlights the potential loss of 14,000 jobs in the beauty sector this year, primarily due to tax rises implemented by the Labour government. The beauty industry had recovered strongly post-pandemic, valued at £30.4 billion and employing 697,000 individuals. However, the increase in employers' National Insurance contributions and a significant rise in minimum wage is causing businesses to struggle. Millie Kendall, head of the British Beauty Council, expressed concern over these tax policies, stating they contradict the government's stated goal of fostering economic growth. The British Hair Consortium has noted that salons are increasingly laying off staff to rehire them on self-employed terms, a move aimed at mitigating tax burdens.
Key Takeaways
"The Government talks about aiming for growth but, unfortunately, its actions have caused exactly the opposite."
Millie Kendall, head of the British Beauty Council, emphasizes the negative impact of government tax policies.
"This is a tragedy for those looking to get back on the career ladder."
Kendall highlights the job losses' impact on young people's employment opportunities.
" salons are now sacking staff and bringing them back on a self-employed basis to avoid the tax hikes."
A trend observed by the British Hair Consortium shows a shift in employment practices.
"We had the momentum to produce exactly what they wanted as well as help rescue the high street."
Kendall indicates the potential for growth that is being stifled by current tax increases.
The forecast for the beauty sector is troubling, particularly for its younger workforce. As Millie Kendall pointed out, the government’s actions are counterproductive to growth. With the beauty sector being a vital entry point for many young workers, job cuts will have lasting implications on youth employment. Furthermore, the dramatic projection of a 93 percent job loss by 2030 raises alarms about gender impacts, especially as women comprise 84 percent of the workforce. This situation reveals a disconnect between government policy and industry realities, potentially jeopardizing a sector that has shown resilience.
Highlights
- Tax hikes are a swift blow to our thriving beauty sector.
- Youth employment is at risk due to these damaging policies.
- The beauty industry deserves better support from the government.
- Changing hiring practices reflect the industry's struggle.
Job losses in beauty sector raise concerns
Tax increases are leading to potential layoffs in the beauty industry, impacting youth employment and female workers.
The industry's future hinges on balancing tax policy with economic sustainability and job protection.
Enjoyed this? Let your friends know!
Related News
Trump tariffs may increase manufacturing costs significantly
Trump continues anti-renewable stance in Scotland
Mortgage approvals increase as housing market stabilizes
Microsoft identifies jobs most threatened by AI
Chancellor plans major pension reforms
July 2025 Services PMI indicates slow growth
Widespread job cuts signal recession risk
Markets rise as Ukraine talks loom
