'Support jobs in every postcode': Andy Burnham urged to reduce costs of employing under-25s in shops
Incoming Prime Minister Andy Burnham has been urged to make it cheaper for shops to hire under-25s as part of measures to bolster the nation’s retail businesses.
The British Retail Consortium has launched its Buy into Retail Manifesto, which sets out 10 policy ideas it believes could help the industry.
Among the proposals is a cut to National Insurance contributions for employers in regards to staff aged under 25, as well as freezing the minimum wage for 18 to 20 year old.
The BRC said: “Increased employer National insurance and above-inflation rises in the NLW added £6.5 billion in retail costs in two years. We see the impact on jobs: more than a million young people not earning or learning, and 66,000 fewer retail jobs than a year ago.”
Other proposals include a new ‘zero tolerance’ approach to retail crime with “greater police presence on the ground and fast-track prosecutions for repeat offenders”.
It also suggests changes to business rates and making electricity costs more competitive for retailers, as well as launching a government-retail taskforce to expand routes for young people into employment.
The manifesto also calls for more joined-up thinking across different Government departments to reduce new costs and rules arriving at the same time.
It said: “New legislation produced by one department often pays no regard to new or existing legislation produced by others, introducing a cumulative burden, often carrying substantial costs and need for systems changes. In 2027, retailers need to implement the Employment Rights Act, a £2bn deposit return scheme for bottles and cans, make major product and labelling changes for the SPS agreement, and apply new rules on food nutrition.”
Helen Dickinson, chief executive of the British Retail Consortium, said: "Retail is where the economy shows up in everyday life.
"It is where millions of people earn a living. Retail is part of the everyday economy, touching every community across the UK.
"When retail thrives, more people are in work, investment flows into local communities, and fierce competition drives prices down for families. But cumulative costs and fragmented policy decisions are holding the industry back.
"Retailers have absorbed £6.5 billion in additional employment costs since 2024, as well as billions more in new packaging taxes, business rates, and rising electricity costs. The consequences are clear: fewer jobs, less investment and higher prices for consumers.
"Andy Burnham has made collaborating with business to drive growth, high streets, and living standards central to his ambition.
"Retail is a key partner to deliver it: with the right policies, retail can drive investment, support jobs in every postcode, and keep household essentials affordable. Our manifesto offers a path for Mr Burnham to support the millions of people that rely on retail every day."
During a recent speech in Manchester, Mr Burnham said he wants to deliver “good growth in every postcode” and takes “very seriously” a recent report by Alan Milburn into the extent of youth unemployment across the country.
He pledged to “answer the call” from mayors on “devolution of employment support and changing the way we support and sustain people in employment, working much more through our community and voluntary sector at a grassroots level”.