Gary Neville accuses Labour of making it harder for businesses to hire after £2.5 billion tax hike
Gary Neville publicly criticized Labor’s decision to raise employers’ national insurance, warning that the move would make it harder for companies to take over employees and risk stifling the growth of an already fragile economy.
The former Manchester United and England footballer, one of Sir Kyle Stamer’s most prominent supporters during last year’s election, said Prime Minister Rachel Reeves’ £25 billion tax hike was poor.
“I honestly don’t think companies and small businesses should stop hiring people,” Neville told Sky News. “I think state insurance could have prevented it, especially given the economic situation.”
Neville, who has built a multi-million-pound business portfolio, hotels and football, said he hopes to improve stability after the Labor election victory. “It’s been a tough economy for a few years. I think once the government changes, we’ll see everything settle down,” he said. “But it’s not settled here – it’s not settled in many parts of the world, to be fair, either.”
Neville said businesses were under severe pressure when the government decided to raise the minimum wage by 6.7 per cent in April when the minimum wage was raised to £12.21 per hour. “I don’t think we can ever criticize the government for raising the minimum wage,” he said. “People deserve more salary. But state insurance is a challenge.”
Neville joined Labor in 2022, saying the party “must go to the center” and joined Starmer in a half-hour campaign film during the election, describing the labor leader as “serious politicians.”
But his latest comments have led him alongside other entrepreneurs and business leaders who believe higher employment costs will make hiring harder and economic recovery.
“It’s tough. It’s really, really tough,” Neville said. “Products, utilities, rent costs – everything is going up. Some sectors are working hard to operate due to rising costs and because people find it difficult to support local businesses.”
