Not a Peppa Pig in Sight: CBI Boss Criticises Johnson Over Budget Tax Rises

In Desk

Nov 25, 2024 • 1 min read

London, UK - The Confederation of British Industry (CBI) has delivered a scathing critique of the government's budget tax rises, with the organization's head, Rain Newton-Smith, taking a subtle dig at Prime Minister Boris Johnson.

In her opening speech at the CBI's annual conference, Ms Newton-Smith quipped that she hoped there would be "not a Peppa Pig in sight" - a reference to Mr. Johnson's infamous 2021 speech when he lost his place and went on a tangent about a trip to a Peppa Pig World theme park.

The comment was a clear attempt by the CBI boss to draw attention away from her criticisms of the government's budget and towards the Prime Minister himself. The budget, announced earlier this week, has included significant tax rises for employers, which Ms Newton-Smith described as "putting a heavy burden on business".

The CBI chief praised Chancellor of the Exchequer Rishi Sunak for delivering stability in public finances, but noted that the rise in employer's national insurance and other taxes would make it harder for businesses to invest and expand.

Ms Newton-Smith warned that tax rises like these must never be repeated, as they can lead to "unintended consequences". She urged the government to focus on getting people back into work and raising productivity, but noted that the recent budget had effectively made it "harder for our firms to take a chance on people".

The CBI's commentary comes as businesses across the country struggle to recover from the economic uncertainty caused by the pandemic. The conflicts in Ukraine and the Middle East, as well as growing protectionism concerns, have created an uncertain environment that is making it difficult for companies to plan ahead.

In response to her criticisms, a spokesperson for Downing Street said that the government was committed to supporting businesses and creating jobs. However, the CBI's fresh warning on the impact of tax rises will likely put further pressure on policymakers to rethink their approach.

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