Dave Lewis, chief executive at supermarket Tesco has warned that retailers face a ‘lethal cocktail’ of tax and costs as the industry faces £14billion of extra expenses over the next five years, including the new national living wage and business rates.
Commenting at the Confederation of British Industry’s conference, he said: "Profits are down but business rates are up. It is the biggest tax we have and is three times the OECD average."
Tesco has said that its pay and benefits are “already significantly above the new voluntary living wage rate".
Mr Lewis also said the retail industry and the government need to be closer in negotiations with policies or changes such as the living wage, the apprentice levy and rates.
Mr Lewis added: "The impact of the retail sector on our wider economy is absolutely massive. We need to be careful we don't lose or damage some of that almost by accident."
