Controversially debated tax plans: Despite criticism, CS Venkatakrishnan praises Rachel Reeves' budget

In the heated debate over the recently presented British budget, Barclays CEO CS Venkatakrishnan defended the tax plans of the UK's Finance Minister, Rachel Reeves. Despite considerable concern from corporate management, he praised her efforts to balance spending, debt, and taxes. Venkatakrishnan stated that the tension between different economic sectors is inevitable, as it is practically impossible to please everyone. In particular, the increase in social insurance contributions announced by Reeves in her first budget draft raised concerns among leaders in the retail and hospitality industries. They fear that this measure could lead to job losses and rising prices. Nevertheless, Venkatakrishnan, who was previously consulted on planning a national wealth fund, sees a successful balance in Reeves' plans, which primarily aim for economic growth. However, some companies are questioning the long-term growth strategy. Sir Martin Sorrell of the advertising agency S4Capital expressed skepticism about the prospects for sustainable economic growth under these conditions. According to calculations by the Office for Budget Responsibility (OBR), economic growth for the coming years is being revised upwards, but expectations for the subsequent years remain subdued. In the hospitality industry, the increased financial burden from higher social insurance contributions is meeting resistance. Simon Emeny of Fuller's and James Baer of Amber Taverns critically spoke out against the additional costs, which could ultimately be passed on to consumers. They criticize that the industry is inordinately affected. Despite a promised minor reduction in beer tax, industry representatives doubt its impact. David McDowall of Stonegate described the additional burdens as a "bitter pill," especially in an economically challenging environment. Andrew Murphy of The Entertainer warned that higher taxes on jobs could potentially exacerbate the problem rather than solve it.