Whitbread, the proprietor of Premier Inn, has issued a warning that impending tax increases could pose a significant threat to the 海角视频's hospitality sector.
Chancellor Rachel Reeves is grappling with a £40bn shortfall in the country's finances, which is increasingly likely to be addressed by a tax-increasing Autumn Budget, as reported by .
The focus of these potential tax hikes has been hotly contested, with speculations ranging from a tax on landlords' earnings to a decrease in tax benefits for Brits contributing to pensions.
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"We acknowledge the escalating pressure for tax increases and wider fiscal tightening as part of the forthcoming Budget," stated Whitbread, which reported a three per cent decline in half-year sales to £1.41bn on Wednesday, to the markets this morning.
The company also saw its pre-tax profit drop from £357m to £331m over the same six-month period.
"There is a risk that these measures could disproportionately affect the hospitality and property sectors, an issue we have actively campaigned against, in partnership with other industry groups," the firm added.
This morning, Whitbread's share price has plummeted nearly ten per cent.
Hospitality 'being left to collapse'
Approximately half of the job losses since last Autumn's contentious Budget have occurred in the hospitality industry, while one in five hospitality companies have no cash reserves.
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"Hospitality is one of the few industries safe from AI disruption, and yet it's being left to collapse," said Imme Ermgassen, co-founder of Botivo.
"Where did you have your first job? Where could you pick up the odd shift? Where did you meet your mates after a long day? If independent venues vanish, so do the spaces that shape creativity, community and belonging," she expressed.
Saxon Moseley, partner and head of leisure and hospitality at RSM 海角视频, commented: "After bearing the brunt of this year's tax rises, the sector is calling out to the government for bold, meaningful support measures in the Budget."
Brewdog has estimated that the 海角视频 brewing and hospitality industry has faced a £1bn increase in costs over the past 12 months, fuelled by skyrocketing energy bills, rising labour costs, escalating ingredient and packaging prices, and tax alterations.
Brewdog cautioned that the upcoming Autumn Budget "represents a critical moment for the future of Britain's brewing and hospitality industries."
Emma McClarkin, chief executive of the British Beer & Pub Association, urged: "We urge the Chancellor to act in the Budget to recognise the importance of the beer and pub sector to our economy and community by detailing meaningful business rates reform, cutting beer duty and reviewing punishing employment and packaging costs so we can thrive at the heart of high streets, towns and villages across the 海角视频."