Small retailers call for minimum wage freeze

Date: 16th April 2009

Small retailers have demanded the government hold the rate of minimum wage at this month's budget.

According to the British Chambers of Commerce (BCC), this would not only help firms, from sole traders to limited companies, hold onto their existing staff, but also to take on new employees.

The group claims that a halt in wage rises would also prove to be far more effective than other recently announced government schemes, such as a proposal to transform empty retail units into art spaces.

David Frost, director general of the BCC, commented: "Freezing the national minimum wage and cutting burdensome regulation … will help our high streets remain vibrant and successful.

"It will be business that drives the UK out of recession, so real support with cashflow is needed."

Earlier this week, the Centre for Economic and Business Research disclosed that retail sales had seen a slight rise since the introduction of the 2.5 point VAT cut in December.