Currys boss warns Reeves against further tax hikes as retailer cuts hiring

• Alex Baldock says Chancellor should ‘think very carefully’ before more hikes
• Currys posted a 37% rise in annual profits as revenues near £9bn  

By JESSICA CLARK

Updated: 09:30 BST, 3 July 2025

The boss of Currys has warned the Chancellor that further tax hikes will hurt growth and jobs.

Chief executive Alex Baldock said the government should ‘think very carefully before they make the situation any worse’.

But he insisted Currys could ‘swim against the tide’ as the electronics retailer reported a 37 per cent jump in annual profits.

His warning came amid growing fears that Rachel Reeves will increase the tax burden on UK businesses in her October Budget.

Currys and other retailers have already cut back on hiring after Reeves hiked employer National Insurance contributions and granted workers an inflation-busting minimum wage increase last autumn.

Baldock said hiring had been ‘more depressed by the policy environment’.

‘We could be employing more people were the outside world more conducive,’ he added.

‘We want to be helping to grow the economy and bring investment into the UK…retailers would like to do it and we would be able to do more of it with a more helpful policy environment.’

Baddock said: ‘The tax burden that retailers already suffer is dampening the contribution that we could make, any further tax burden would further dampen growth investment and employment and increase prices.’

But Baldock is confident Currys can ‘swim somewhat against the tide’.

‘Without any help from the outside…what we’ve shown is that Currys will get on with doing what’s in our control,’ Baldock said.

The electronics retailer beat analyst expectations to report profit of £162million – a 37 per cent increase on a year earlier. Group revenue rose 3 per cent to £8.7billion in the 12 months to 3 May.

UK sales were driven by demand in Currys mobile phone and computing businesses. It also reported that health and beauty products such as Oura rings, Garmin watches and electrical face masks were growing fast.

The recent heatwave has seen fans ‘flying out of stores’ as well as an increase in sales of air conditioning units and barbeques.

Baldock said the balance sheet is the strongest it has been for a decade with net cash of £184million.

The retailer reinstated its dividend for the first time in two years as it proposed a payout of 1.5p per share and hinted at the prospect of a share buyback in the future.

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Currys boss warns Reeves against further tax hikes as retailer cuts hiring

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