Where the Pressure Actually Comes From
Wages outpacing prices, not a dying industry. The National Living Wage rose 119.1% since 2009 against 69.0% for sector prices — a real, measurable gap. And why a VAT cut at the rate actually being campaigned for is absorbed within 2–4 years.
Key Findings
- Employment stable: 398,000 (2022-23) to 396,000 (2024-25), not collapsing
- NLW +119.1% vs sector prices +69.0% since 2009 — the real mechanism
- 10% VAT cut (the actual ask) absorbed in 2–4 years, not a fix
- VAT cut helps small operators; ENICs/CT cuts help large groups — not the same ask