Budget latest: Reeves defends tax hikes as ‘everything has to be paid for’; Hunt leaves shadow cabinet

We’ve just spoken to Toby Dicker from the Salon Employers’ Association, who told us the budget was “much, much, much worse than we had predicted.”

When drawing up the budget, he predicted that the “worst case scenario” for his business would be a cost of £75,000 due to increased employers’ National Insurance Contributions (NICs), when in reality it would be £127,000.

He explained that hairdressing businesses are particularly affected by the rise in NICs as their wage costs account for 60% of turnover – much higher than most businesses.

Overall, he is “stunned” and “shell-shocked” by what Rachel Reeves announced yesterday.

Asked whether he had made submissions to HMRC ahead of the Budget, Mr Dicker said 200 industry people had written a 17-page document on potential measures.

“We’ve been talking to HMRC for five years and talking to DBT (Department of Business and Trade) and they promised us something they never delivered and it forced much of our industry to move to the gig economy. .

“The gig economy has not been affected by this budget,” he said, noting that a delivery company with profits of more than £100 million does not pay network cards, while he pays almost £100,000.

Agitated, Mr. Dicker told the government: “You have not listened to us in subsequent administrations. We tried to tell you, but you didn’t listen.”

The hairdressing industry is now “completely shut down,” he said, explaining that employees will have to move to the gig economy to cut salon costs and apprentices will no longer be hired.

He begged ministers to sit down with him and discuss the problems this budget creates, saying: “You have taken all the profits, everything you invested and you have taken my salary from me. “

He said he would “fight tooth and nail” like the rest of the industry for a better deal from the government.