Keir Starmer and the chancellor, Rachel Reeves, have refused to rule out a rise in employer contributions in the budget on 30 October, as part of plans to plug what ministers say is a £22bn hole in the public finances left by the Conservative government.
The head of UK Hospitality, which represents businesses, said such a move would be a tax on jobs. "An increase would particularly hammer sectors like hospitality, where staffing costs are the biggest business expense," said Kate Nicholls, the group's chief executive.
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