Businesses 'oppose' minimum wage rise

Date: 30th December 2008

British small businesses have voiced their opposition to any increase in the national rate of minimum wage.

According to statistics calculated by the British Chambers of Commerce (BCC), a rise by the same increment as 2008 would cost firms an additional £30 million.

The BCC is also at pains to stress that any increase - small or large - would add to unemployment and further damage the economy.

David Frost, director general of the BCC, commented: "Most businesses are prioritising survival at the moment.

"A rise in minimum wage would not help firms hold onto staff and would simply add to unemployment."

Mr Frost added that the organisation was not opposed to increases in the national rate of minimum wage when the economy was "doing well".

Another consideration for businesses - such as partnerships and sole traders - is the upcoming self-assessment tax return deadline, which falls on January 31st.