Leaders from several of the UK’s largest retail and hospitality firms, including Tesco, Marks & Spencer, Sainsbury’s, and Costa Coffee, met with Chancellor John Healey on Tuesday to discuss the economic challenges facing their sectors. The primary focus of the meeting was the recent increase in employers' national insurance contributions (NICs).

Business executives, including M&S boss Stuart Machin and Sainsbury’s CEO Simon Roberts, argued that the current tax burden on employers makes it increasingly expensive to hire young staff. They are specifically calling for a partial reversal of the policy changes introduced by the previous administration under Rachel Reeves, which lowered the earnings threshold at which these contributions begin. The business leaders contend that these costs are hindering job creation and placing undue pressure on sectors that rely heavily on entry-level and younger employees. The Chancellor’s office has acknowledged the meeting, though no immediate policy changes have been announced as a result of these discussions.