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Sports Direct founder Mike Ashley attacks Burnham's 'populist' High Street plans
Confirmed
Ashley said the High Street will be "further devastated" without major reforms, and warned Burnham's suggestion he will consider further business rates changes in the coming Budget are "too little, too late". Burnham previously said before he was prime minister that cuts for pubs, clubs and music venues could be paid for by higher levies on warehouses operated by online firms such as Amazon, and targeting the owners of empty high street properties.
He said he would look at hiking business rates on the giant warehouses which are emerging to service massive online retail companies like Amazon, while lifting high street shops and pubs out of having to pay the business rates.
A Downing Street spokesperson said Burnham would "build a new economy that backs British business, delivers growth in every postcode and ensures the essentials in life - like energy, water and housing - are affordable again.
While Mr Ashley said he welcomed Mr Burnham’s comments on looking at business rates in the next Budget, he warned it was “too little, too late”. "It is the disastrous business rates position (which I have raised many times over the years) and the dramatically increasing cost of employing people that are really causing business to struggle," Ashley said.
Referencing comments by Tory peer and former Marks & Spencer boss Lord Rose, who called the announcements "hot air", Ashley said "I agree with him". Mr Ashley also said more needed to be done to tackle store theft, which he estimated to cost Frasers around £40 million a year.
"Shortsighted or populist reactions to underlying business challenges are not the answer," Ashley said in the letter. A Downing Street spokesperson said: “For too long, Westminster has not been working for people across Britain.
“The Prime Minister has said he will lead a cost-of-living government. No 10 said the overhaul will be funded by reviewing reliefs for businesses that “do not make a positive contribution to local communities” such as vape shops and by cracking down on online marketplaces that do not comply with tax obligations.
In Ashley's letter, seen by the BBC and first reported by the Financial Times, , external he hit out at announcements made since Burnham succeeded Sir Keir Starmer as prime minister. He argued that if the Prime Minister’s answer is taxing larger retailers even more to reduce business rates for pubs and clubs, “then that is simply delusional”.
What's confirmed
- A Downing Street spokesperson said Burnham would "build a new economy that backs British business, delivers growth in every postcode and ensures the essentials in life - like energy, water and housing - are…
- Burnham previously said before he was prime minister that cuts for pubs, clubs and music venues could be paid for by higher levies on warehouses operated by online firms such as Amazon, and targeting the owners of…
- Ashley said the High Street will be "further devastated" without major reforms, and warned Burnham's suggestion he will consider further business rates changes in the coming Budget are "too little, too late".
- While Mr Ashley said he welcomed Mr Burnham’s comments on looking at business rates in the next Budget, he warned it was “too little, too late”.
- “The Prime Minister has said he will lead a cost-of-living government.
What's still developing
- In Ashley's letter, seen by the BBC and first reported by the Financial Times, , external he hit out at announcements made since Burnham succeeded Sir Keir Starmer as prime minister.
- "Shortsighted or populist reactions to underlying business challenges are not the answer," Ashley said in the letter.
- Referencing comments by Tory peer and former Marks & Spencer boss Lord Rose, who called the announcements "hot air", Ashley said "I agree with him".
- "It is the disastrous business rates position (which I have raised many times over the years) and the dramatically increasing cost of employing people that are really causing business to struggle," Ashley said.
- No 10 said the overhaul will be funded by reviewing reliefs for businesses that “do not make a positive contribution to local communities” such as vape shops and by cracking down on online marketplaces that do not…
- He said he would look at hiking business rates on the giant warehouses which are emerging to service massive online retail companies like Amazon, while lifting high street shops and pubs out of having to pay the…
- He argued that if the Prime Minister’s answer is taxing larger retailers even more to reduce business rates for pubs and clubs, “then that is simply delusional”.
- Mr Ashley also said more needed to be done to tackle store theft, which he estimated to cost Frasers around £40 million a year.