Sainsbury’s & BT Warn of Price Hikes After Budget Raises Employer Taxes

• Sainsbury’s CEO says National Insurance hike will cost the supermarket £140m, impacting food prices
• BT anticipates raising broadband prices to offset a £100m budget hit
• Other major retailers like Wetherspoons and Marks & Spencer also facing higher costs

Following the recent Budget, shoppers could see price hikes at supermarkets and on their broadband bills. Sainsbury’s CEO, Simon Roberts, warned that increased National Insurance costs would add £140 million to the retailer’s expenses, making it challenging to absorb these costs without raising prices. He warns that shoppers may face price hikes on groceries.

BT also announced plans to adjust broadband pricing to address £100 million in additional expenses.

Retailers across the board, including Marks & Spencer and Wetherspoons, are anticipating significant financial impacts. Sainsbury’s, facing a £500 million annual business rates bill, continues to call for reform to reduce costs for retailers. Meanwhile, BT’s CEO, Allison Kirkby, indicated that the telecom giant may pass on the new costs to consumers, especially as it continues its broadband infrastructure investment.

Tom Church, Co-Founder of LatestDeals.co.uk, commented, “Shoppers are likely to feel the pinch as retailers and service providers try to manage these increased costs from the Budget. For households, every increase in food and utility costs has a real impact, especially as we head into the winter months.