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If British holidaymakers face the prospect of expensive holidays Rachel Reeves Britain’s two biggest companies have warned that tax rises will be implemented in next month’s budget tour operator,
tuiUK managing director, Neil Swanson, warned that “holidays If the Chancellor does this it will become very expensive for some people”.
jet2 Meanwhile, chief executive Steve Heapy feared the Budget could lead to £50 billion of annual tax rises, which would “hit the middle of England”.
Ms. Reeves is searching tax increases and spending cuts for his November 26 budget, Aiming to address the estimated £50 billion fiscal deficit,
Last October saw his inaugural budget Announcement of additional £40 billion in annual taxes,
Mr Swanson warned that if taxes on businesses were increased further travel companies would be forced to raise holiday prices.
He said: “We will not be able to afford the additional costs that come there, and depending on what actually happens we will have to spend some or all of that.
“This will force some people out of the market.
“You want travel to be for everyone, not just those with deep pockets.
“We need the government to help us drive the growth that the economy needs.”
He said: “If you put too many obstacles in our way, it will be really difficult to achieve.”
Mr Heapy said the taxes were “higher than when the Conservatives were in power”, causing his company to lose £25 million. Increase in employer national insurance contributions And higher national minimum wage It was announced in the last budget.
“Mood music makes it seem like taxes will go up again,” he said.
“I don’t think it’s sustainable.”
Asked whether tax increases would increase holiday prices, Mr Heapy replied: “Possibly, yes, because if the Budget is not seen as good, the value of the (UK) currency could go down, and if the currency goes down, import costs will go up.”
Mr Heapy said his message to Ms Reeves would be “don’t continue to use middle England as a cash cow” as he did not believe it was possible to “tax our way out of an economically tight situation”.
He further said, “They keep talking about the development agenda. Well, let’s see it.”
“I haven’t seen anything yet that I think will result in significant growth in the economy, but I am optimistic.
“I hope the budget is a true development agenda budget.”
The Treasury has been contacted for comment.