MPs gathered in Westminster Hall to debate the economic contribution and mounting financial challenges of the UK’s beauty sector.
Prompted by growing pressure from employers nationwide, the debate was tabled by Julia Lopez, MP for Hornchurch and Upminster. Lopez raised concerns that businesses are being “crushed by the weight of tax demands,” pointing to issues including the end of business rates relief, higher National Insurance contributions and the cumulative burden of VAT.
Her intervention follows the Salon Owners and Employers action day on March 17, when hundreds of professionals from across the sector gathered outside Parliament to demand urgent action. “This is a highly skilled, labour-intensive specialty that’s getting squeezed from all sides,” said Lopez. “We risk losing honest, taxpaying businesses from our high streets, replaced by unregulated operators that evade tax and oversight.”
MP Cat Eccles (Stourbridge) shared testimony from business owner Tim Scott-Wright, who warned that the increased costs associated with National Insurance and wages could force him to stop training apprentices.
Throughout the session, MPs emphasised the sector’s economic and social value – estimated at £5.8 billion – and highlighted its heavy reliance on female-led microbusinesses, part-time work and apprenticeship training.
Sarah Gibson, MP for Chippenham, referred to the post-pandemic environment and high tax burden as a “perfect storm.” She warned that some salon owners faced payroll increases of over £40,000 due to NIC rises and called for a more flexible, small-business-friendly apprenticeship levy.
In response, Gareth Thomas, Parliamentary Under-Secretary of State for Business and Trade, acknowledged the challenges faced by the sector but stood by the Government’s fiscal approach. “We’ve made tough decisions,” he said, pointing to Employment Allowance increases and business rates relief for retail as targeted support measures. He added that a forthcoming small business strategy will outline further assistance.
