Small business owners today reacted with fury after Boris Johnson announced a £12billion-a-year tax raid, saying it was 'yet another massive kick in the teeth'.
The Prime Minister revealed a new health and social care levy this afternoon, based on a 1.25 percentage point increase in National Insurance contributions.
But small company owners pointed out that they would be 'effectively hit in the pocket twice with contributions both as an employer and employee'.
Others claimed that it was effectively a 'tax on jobs which isn't a great idea with the furlough scheme about to end' and 'doesn't affect retired multi-millionaires'.
The move breaches a Tory commitment not to raise NI - while a second manifesto pledge, to maintain the pensions triple-lock, was also temporarily abandoned.
The British Chambers of Commerce said the hike would 'be a drag anchor on jobs growth' with the end of furlough as companies emerge from the pandemic, while Make UK's boss said the decision was 'ill-timed as well as illogical'.
Here is what small business owners had to say about the announcement today:
Sandra Wilson - owner and director at Cottrell Moore Limited, a recruitment, Human Resources and training company based in Ipswich, Suffolk
'The Manifesto pledge was put together prior to the global pandemic and, unless I'm missing something, the Government didn't have a crystal ball to know it was coming.
'Therefore, as much as we dislike any increase we all have to appreciate that tremendous costs have been incurred to keep the country going and they need paying back.
'I do however think that the NHS requires proper management of costs, we can't just rely on increased taxes without the costs being managed effectively, too.'
Karen Watkins - an organisational coach, HR expert and founder of Rowan Consulting in Highbridge, Somerset
'Yet another massive kick in the teeth for those hit hardest over the past year and a half, including those just entering the workforce to those small business who continue to be the forgotten.
'It also contradicts any form of so called 'levelling up'. Shame on you, Boris.'
Natalie Bamford - managing director at Colleague Box, a Derby-based company offering personalised gift boxes
'This is a textbook example of how to kick a person when they're down.
'Inevitably we were going to have to pay for the pandemic but aren't we still in the pandemic?
'For a nation that is still mourning the loss of 'normal life', it just feels like this is another blow and another reason for feeling thoroughly deflated.'
Jez Lamb - founder of [email protected], an online drinks retailer based in Birkenhead on the Wirral
'Things are tough enough as they are for us small business owners and the Government seems to want to make it tougher still.
'As a business owner you're effectively hit in the pocket twice with contributions both as an employer and employee.
'As we emerge from the pandemic it's like coming up for air only for another wave to knock you back under.'
Matthew Fleming-Duffy - director at Cherry Mortgage and Finance, an independent mortgage broker in Christchurch, Dorset
'I
