The chief executive of Next plc has urged the UK Government not to profiteer from rising tax revenues driven by surging oil and gas prices amid the Middle East conflict.
Lord Wolfson said it was a “reasonable ask” for the Treasury not to retain unexpected gains linked to higher fuel costs, adding: “I think a reasonable ask from our industry – and in fact all industry – is that the Government doesn’t end up profiting from it.”
He highlighted increased VAT receipts from higher petrol and diesel prices, arguing it would be fair for the Government to take “what it was expecting from fuel but not necessarily more as a result of the price changes”.
“I think that would be a very reasonable ask for the industry to say that to the Government: ‘Don’t actually make more money out of this than you were expecting,’” he told the Telegraph.
The intervention comes amid growing tension between business and UK Government, with Chancellor Rachel Reeves previously blaming companies for rising prices.
Fuel prices have surged since the Iran conflict began, increasing pressure on households and businesses, while analysts suggest the Treasury could gain billions in additional tax revenues if elevated energy prices persist.
Next warned the crisis has already created a £15million cost hit, driven by higher freight and fuel costs.