Rachel Reeves’s tax grab hammers ‘working people’ – here’s the proof | Personal Finance | Finance

As a result, many are no longer working people. They lost their jobs thanks to the overwhelming tax hikes he explained in the autumn budget and now they are unemployed.
During the election campaign, Reeves and PM Keir Starmer promised not to increase three big personal taxes: Income Tax, National Insurance (NI) or VAT. Reeves still insists on the fact that he holds a tax raid of 25 billion pounds, but he still insists on the employers who entered into force in April.
Reeves says the increase in the employer does not touch individuals. However, this is ignoring how it really works. Employers do not only absorb higher taxes, but also transfer them.
In many cases, the alternative is to be bust. This means higher prices, lower wages, less new recruitment and increasing layoffs.
Since artificial intelligence threatened millions of jobs, Reeves could not choose a worse time to make recruitment more expensive.
Working people are at the sharp end of the tax war, and the evidence is being stacked day by day.
According to bankruptcy experts in Begbies Traynor, approximately 50,000 companies are at risk of collapse.
For the second quarter of 2025, the “Red Flag Warning” found that the number of critical financial problems increased by 21.4% compared to the previous year.
Warning lights are the most popular in industries based on many working people: bars, restaurants, retailers and tourism businesses.
Bars and restaurants have increased by 41.7% in distress, increased by 17.8% in the general retail, and more and more stores are closing. Big brands like Jaguar Rover are also axes.
Begbies President Ric Traynor drew attention to global problems such as Donald Trump’s tariffs, but emphasized that Reeves’s tax hikes affect “enormous coercion”. The employer’s NI and the hike that caused inflation, the national minimum wage has determined.
Then how much relief is that there is no “working people ında in hospitality, tourism or retail.
Of course, they. I was sorry. Young people are particularly difficult, because the minimum wage in which Reeves are beaten does their initial work.
The official HMRC figures published in June show that an amazing 276,000 jobs have been gone since the budget in October. And the speed is accelerating, just went 109,000 in May.
This is the biggest monthly decline since 2020’s Covid locking.
Then we still don’t know what Reeves were crying in Parliament. But if I had destroyed so many things, I wouldn’t have stopped crying.
Unemployment has reached 4.7%, the highest rate in four years. And he doesn’t stop there.
Estimates from the Economic Counseling Economic Consultancy El Material Club estimates that 100,000 employees are preparing to lose their jobs until the end of this year, as employers cut more personnel to cope with increasing costs.
O expects unemployment to reach 5% compared to the end of the year, as businesses pour workers or just close, a level that has not been seen since the pandemi.
Economic consultant Matt Swannell said that thanks to Anemic Growth and Reeves’s “Business Tax”, business layers will continue next year.
And this, Prime Minister Deputy Angela Rayner, employment rights invoice through the business of £ 5 billion won more than £ 5 billion.
Reeves deletes things according to the bucket load. And if most of the affected people are no longer “working people ,, this is because their policies destroy their work.
Remember, this autumn is coming back for more tax. It will make working people even more difficult. If they still work then.