By UWA News Desk
🚨 The UK just lost 47,000 payrolled jobs in a single month — and big employers are pointing the finger at National Insurance hikes and the new £12.21 minimum wage.
According to the Office for National Statistics, this marks the sharpest drop in employment since 2021. The hardest-hit sectors? Retail and hospitality, where rising labour costs and tight margins are already pushing businesses to the brink.
📉 92,000 roles vanished from accommodation and food services alone — wiping out jobs in pubs, restaurants, and hotels across the country.
“We just can’t afford it anymore”
Business groups say that rising employment costs — especially a jump in employer National Insurance from 13.8% to 15%, and the lowering of the NI threshold to £5,000 — are making it harder to retain staff.
A recent survey by UKHospitality revealed:
- 🍽️ 1 in 3 hospitality businesses are operating at a loss
- ⏳ 60% are cutting back hours
- ❌ Over half have cancelled investment plans entirely
Even Beales, a beloved 140-year-old department store, is shutting its last location in Poole, blaming wage and tax rises for its collapse.
Are workers being punished for wanting fair pay?
While the government defends these changes as necessary to fund public services, frontline workers and their employers are both struggling to keep up.
This begs the question: Is it possible to raise standards without raising the axe on jobs? And are workers once again being made to pay the price of political choices?
Let’s talk solutions
📣 At United Workers Alliance (UWA), we believe you deserve both fair pay and secure jobs. We offer free 1-to-1 consultations to help members navigate redundancies, wage disputes, and shifting employment laws.