Chancellor Rachel Reeves tries to reassure tax-raid stressed entrepreneurs by quoting Toy Story
THE Chancellor last night tried to reassure tax-raid stressed entrepreneurs by telling them: “You’ve got a friend in me.”
Rachel Reeves turned on the charm at a summit that called for greater investment for small and medium-sized enterprises (SMEs).
In a nod to the Toy Story theme song, she told an audience that included Alex Kendall, of driverless car start-up Wayve, and Benjamina Bollag, from lab-grown meat firm Uncommon: “Growth is driven by the private sector, and by entrepreneurs like those in this room.
“So my message is simple: You’ve got a friend in me, and in the Treasury I run. We will do all we can to see you succeed; for jobs, for opportunities, and for growth.”
Ms Reeves flagged Government backing of the £250million Invest in Women taskforce, and efforts to unlock more pension fund backing for the British Growth Partnership.
But small firms worry they are not being cushioned from the extra costs of Labour’s worker shake-up.
The threat of higher employer National Insurance contributions will make it more expensive to create jobs. Bosses fear the impact from higher capital gains taxes, and inheritance tax changes.
And they are urging the Government not to scrap entrepreneurs’ relief, amid fears that it will lead to a rush of firms selling up.
Neil Stevens, joint CEO at Fintel, said: “These reforms and taxes are quite inhibitive. It creates a dead-end for entrepreneurs.” Mitchell Barnes, of printing firm RYSE 3D, added: “Worker reforms are forcing us to consider whether creating jobs is actually worth it.”
The Federation of Small Business’s Craig Beaumont said: “A change to NI contributions means every job is more expensive for a small firm to create and maintain.”
Bridget Greenwood, of The 200Bn Club, added: “We need a tax system that rewards innovation and ambition, not one that punishes it.”
Natalie Anne Haigh at Mentoring Entrepreneurs said Budget worries were a distraction that SMEs owners didn’t need after Covid.
Rooneys in big shake-up
COLEEN and Wayne Rooney are among the big-hitters backing a £400million listing of a protein shake and supplements business.
Applied Nutrition uses mum-of-four Coleen, 38, as one of its ambassadors, alongside UFC fighter Molly “Meatball” McCann, 34.
Its investor prospectus says that the company understands the Rooneys will take up a right to buy shares in the company’s listing.
Applied Nutrition, which formulates and creates supplements for athletes and fitness fans, is boosting the lifeless London Stock Exchange with a listing that will value the business at between £340million and £400million.
The British success story will also land its 40-year-old founder Thomas Ryder, right, a father of four and former scaffolder, a £220million pay day.
By listing the business before the Budget, Mr Ryder will sidestep any looming capital gains tax rises which Chancellor Rachel Reeves may introduce.
Other notable backers include Tom Morris, the billionaire behind Home Bargains, and Mohsin Issa, the co-owner of Asda.
Builder's fears
HOUSEBUILDER BELLWAY’S boss has accused the Government of “talking down” the property market as Budget jitters put people off buying a new home.
Bellway’s revenues fell 30 per cent in the past year to £2.4billion while adjusted profits fell 58 per cent to £226million.
Boss Jason Honeyman said Government housing reforms and growth push had been “dampened a bit by talking down the market”.
Bellway said it is expecting growth to pick up next year after the Budget gives more certainty.
Plug is pulled on Plum
VICTORIA PLUMBING has shut its near-namesake Victoria Plum just five months after acquiring it for £22.5million.
Victoria Plum’s website and Doncaster warehouse are to close by December 31, resulting in 100 job losses.
All existing customer orders will be fulfilled.
Victoria Plumbing bought the business in May after 23 years of sparring, including a 2018 trademark dispute.
Insiders said Victorian Plumbing was having to spend millions on Google adverts to ensure it outranked its rival in online search results, and the takeover was a means of ending customer confusion.
Yesterday it became clear that it had paid to put its loss-making rival out of business.
Victoria Plumbing CEO Mark Radcliffe said the move offers a “significant opportunity to accelerate growth”.
The firm said it had delivered a record one million orders in a year as full-year revenues have risen by 4 per cent.
Rents rocketing
MORE than four million Brits are facing a squeeze as rent is hiked to record highs.
The average outside London rose in September by 5.2 per cent compared with last year, with tenants typically now being charged £1,344 a month.
In the capital, rents hit a new record of £2,694 a month, Rightmove figures showed.
Spokesman Tim Bannister said: “With rental supply under strain, incentivising landlords to invest in energy-efficient upgrades or offering tax relief could help maintain rental supply and ease affordability pressures for tenants.”
Riot rise for Mitie
SECURITY guard provider Mitie was one of the few firms to gain from the summer riots.
The FTSE 250 firm yesterday reported a 13 per cent rise in half-year sales to £2.4billion.
Mitie said it cashed in on requests “at short notice to provide additional security to vulnerable locations”.
Thugs rampaged in July after false social media claims that an asylum-seeker was responsible for the murder of three children in Southport.