Hospitality sector could lose 100,000 jobs, trade body warns
The hospitality sector in the UK could stand to lose an additional 100,000 workers due to the Autumn Budget, trade body UKHospitality has warned. The loss of jobs, according to the trade body, stems from increases to the minimum wage, the introduction of a tourist tax, and an changes to business rates.
Chief executive Allen Simpson said he is especially concerned about its impact on youth employment, with the hospitality sector having already lost around 100,000 jobs since the October 2024 Budget. This “including many early career opportunities” he said.
“We’re protecting pubs, restaurants and cafés with the Budget’s £4.3bn support package”, the government said, stressing that changes made meant that most “typical independent pubs” were saving £4,800 annually.
From April 2026, the hourly rate for over-21s will climb by 50p to £12.71. Those aged 18-20 will also see a rise, by 85p to £10.85, and under-18s and apprentices will receive an additional 45p, with their rate rising to £8.
Because it’s “increasingly harder for employers to hire people,” Simpson says, it will make it challenging for young people to gain skills such as “how to work with colleagues.”
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