𝓤𝓷𝓲𝓽𝓮𝓭 𝓝𝓮𝔀𝓼

A Labour government minister is facing a furius backlash after insisting employers are not “working people” in an awkward interview. Emma Reynolds stuck her foot in her mouth as she was challenged on whether her party had broken its manifesto by ramping up taxes.

The Chief Secretary to the Treasury was being grilled about the decision to increase the burden on landlords and savers. She argued there was a “difference” between employers and employees, despite being confronted with the case of a northern pie seller struggling to keep his shops in business following rises in national insurance, the minimum wage and inflation. The toe-curling exchanges on GB News began when Ms Reynolds was asked about the Budget’s 2% point increases in tax on landlords and savers.

When presenter Camilla Tominey said they “were working people as well”, the minister replied: “Well, firstly, let me say I don’t think employers are working people – they are companies.

“And secondly, in the manifesto, we were clear that we would not increase the headline rate of income tax – which we haven’t done – and we haven’t increased VAT, and we haven’t increased national insurance for employees.”

Ms Tominey pointed to the case of Paul Bowen, who heartbreakingly spoke of the woes faced by his pie shops in a striking interview last week.

“He’s an employer, but he’s also a worker, isn’t he?” she said.

Ms Reynolds said she would “love to talk to Paul at some stage”, insisting the Budget tax increases were “targeted and fair”.

Ms Tominey pointed out that she personally worked six days a week but employed a cleaner.

“You can’t seriously be suggesting, as you just have, that employers aren’t working people?” she said.

Ms Reynolds replied: “No, but you’re an employee probably of your company, and I’m saying there is a difference between employers and employees.

“By the way, I also have a cleaner because I also work six or seven days a week.

“So, the distinction I am drawing is between employees and employers.”

Tory defence spokesman James Cartlidge posted on X: “Employers aren’t working people??

“Employing people is one of the hardest jobs there is. And Labour are making it harder.

“Building the team to make a business grow is rewarding but also a massive challenge – be great if someone in Labour understood this.”

Mr Bowen, a former Apprentice star who runs shops in Chorley, Lancashire, gave an excoriating verdict on the Budget during an appearance on ITV’s Good Morning Britain last week.

He said he had been hopeful when Mr Burnham took over from Sir Keir Starmer because he is “northern” and “gets it”.

But he said he would not get business rates reliefs trumpeted by Chancellor John Healey because he operates two shops.

Mr Bowen has previously spoken about how he was forced to close one shop because of Labour’s huge increases to employer National Insurance contributions under previous chancellor Rachel Reeves.