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Mike Ashley criticizes Andy Burnham retail and business rates plans
Ashley urged Burnham to use his first Budget on 27 October to lower employer costs and reform business rates, while arguing recent measures would not fix underlying challenges for firms.
Sports Direct founder Mike Ashley has criticized Andy Burnham’s cost of living and retail policy moves as “populist reactions,” in a letter to the UK prime minister seen by BBC Business and first reported by the Financial Times.
Ashley said “disastrous” business rates policy and higher costs to employ workers are leaving businesses unable to cope. He also called a previous idea to increase business rates on large warehouses to support pubs and clubs “delusional.”
The letter argues that promises such as cutting VAT on household electricity bills and reducing business rates for some firms are only a starting point. Ashley called on Burnham to change the government’s approach to business rates and use the first Budget, scheduled for 27 October, to lower costs for employers and reform how the tax is calculated.
Ashley also repeated his position that business rates should be overhauled to level the playing field between high street retailers and online rivals. In particular, he warned against what he characterized as additional taxation on larger retailers through higher business rates on retailer-owned or third-party warehouses.