Tue, 30 Sep 2025
John Roberts, the founder of AO and so-called kitchen king, says tax rises are putting "grit" into businesses.
John Roberts, founder and CEO of AO World, has achieved a significant milestone in his career after winning a £1 bet with a friend 25 years ago to start an online retailer selling discounted appliances. Today, AO World is a £564m UK empire employing over 3,000 people, selling a wide range of household appliances.
Despite facing challenges such as a post-Covid pandemic slump and international expansion issues, the company has recently launched its first share buyback and raised its profit outlook for the year. However, Roberts expresses frustration with the government's policies, citing increasing taxes and regulatory hurdles that make it harder for businesses to compete with international rivals.
Roberts argues that tax rises, including employer's National Insurance, are "grit" that puts pressure on businesses like his, making it harder to be competitive. He also criticizes the Employment Rights Bill, stating that it will add more costs and make it tougher for companies to take risks on staff.
In addition to business taxes, Roberts is concerned about rising individual taxation levels, which he believes are driving wealthy individuals out of the UK. He notes that he has donated all his AO share options and earnings from other investments to charity over the past 11 years.
Roberts' bigger concern, however, is the prospects for young people in the UK. He argues that the government is not prioritizing youth development, citing the closure of thousands of youth clubs as a national disaster. He believes that schools are teaching children skills for jobs that will no longer exist and that the country needs to invest more in facilities and pathways for disadvantaged kids.
Despite his frustrations, Roberts remains optimistic about the future, expecting an economic recession but seeing it as an opportunity for growth. He disagrees with critics who say it's not a good environment to thrive in, citing the market's huge size and the UK's prosperity.
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