Fri, 25 Apr 2025

Fri, 25 Apr 2025 Hairdresser fears she could lose home over tax hikes

The British Hair Consortium is calling on Rachel Reeves to cut VAT to 10% in June's spending review.
The £23,000 annual increase in tax costs, imposed by the Chancellor's Budget, is putting pressure on Kerry's finances and forcing her to reduce staff hours and apprentice numbers. Kerry fears losing her home if the business folds and says she's been forced to "drastically" cut employee numbers just to survive. She argues that the tax changes are unfair, particularly for women-dominated industries like hairdressing. The British Hair Consortium (BHC) has urged the government to reconsider its tax policies, suggesting a reduction in VAT could actually increase overall tax take by preventing more workers going self-employed or into the black market. Conservative MP Julia Lopez raised Kerry's case in Parliament, urging Chancellor Rachel Reeves to lower VAT from 20% to 10% to support the hair and beauty sector.
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