The boss of Sainsbury’s joined the backlash against Rachel Reeves’ botched business rates reforms as he revealed shoppers flocked to his supermarket over Christmas.
With the Government preparing to announce a U-turn to help pubs facing a sharp increase in their tax bills, Simon Roberts said ‘it’s important that the system works as fairly as possible’.
‘We’ve long campaigned for business rates reforms,’ said Roberts. ‘Pubs are a really important part of communities, just as shops are.’
His remarks came a day after the chief executives of Tesco and Greggs also said more needed to be done to help a host of firms – not just pubs.
Concern: With Government preparing to announce a U-turn to help pubs facing an increase in their tax bills, Simon Roberts said ‘it’s important that the system works as fairly as possible’
Tesco boss Ken Murphy said: ‘I believe that the Government needs to look at the rate system overall and reform it properly.’
He called the rates system ‘fundamentally unfair’ and said that retail and hospitality pay a disproportionate amount of the property tax, with pubs and restaurants particularly hard hit.
And Roisin Currie, boss of Greggs, said: ‘It is good that the Government have helped the high streets and have looked at ways to improve the system that was in place. However, I think there is still a fundamental reform needed in the long term.’
Roberts joined the criticism as Sainsbury’s revealed strong food sales – boosted by an in-home dining boom that retail analysts say is being triggered by people cutting back on eating out to save money. But it followed rival Tesco in disappointing investors with its overall sales growth.
Sainsbury’s, Britain’s second biggest supermarket, saw total sales rise 3.3 per cent over the six weeks to January 3.
The group expects to return £800m to shareholders through a special dividend of £250m and a share buyback programme.
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