Dyson leads business backlash against Labour tax plan

Thomas Edwards | 18th June 2025 | Lobbying, Policy & Think Tanks, Politics
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Sir James Dyson has criticised Labour’s tax and National Insurance increases, warning they could stifle innovation and deter investment. The measures, part of Chancellor Rachel Reeves’s 2025 Spending Review, have drawn mixed reactions from industry, with some sectors raising concern over rising costs amid broader economic uncertainty.

Billionaire industrialist Sir James Dyson has issued a renewed warning about the direction of UK economic policy under the Labour government, condemning proposed increases in National Insurance and corporate taxation. Dyson has previously criticised both Conservative and Labour administrations for failing to create an environment conducive to scientific research and industrial growth. His latest intervention, made in response to Labour's budget plans, claims the current strategy risks damaging British competitiveness and discouraging investment. Labour's economic programme, presented by Chancellor Rachel Reeves in the 2025 Spending Review, includes a rise in employer National Insurance contributions for higher earners and a tightening of tax reliefs used by high-net-worth individuals. The package is intended to fund capital investment in infrastructure, housing, public services, and industrial decarbonisation. Treasury officials have confirmed that the measures will generate over £10 b...

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