The head of a key UK business group says employers were caught “off-guard” by the hike in national insurance contributions in Rachel Reeves’ budget. In a stinging speech, Confederation of British Industry chief executive Rain Newton-Smith said the said the measures announced last month have made it harder for businesses to “take a chance” on hiring new people.

Chancellor Rachel Reeves said she was ‘not immune’ to the difficulties facing businesses but there was no alternative to her Budget tax raid.

Chancellor Rachel Reeves told the annual CBI conference she would not be coming back with more borrowing or taxes.