In a poignant moment, Toby Dicker, founder of the Salon Employers Association, broke down in tears during a live interview, expressing the devastation felt in the hair and beauty industry following a staggering £25 billion tax increase announced in the recent Budget.
Dicker’s emotional reaction was sparked by Chancellor Rachel Reeves’ decision to raise employers’ National Insurance contributions by 1.2%, a move he described as leaving the industry “totally done.”
Speaking to Sky News, Dicker shared his shock, stating, “The initial reaction from our supporters is shell shock. It is much, much worse than we ever thought it could be.”
He explained that the new tax burden would cost his business £127,000—far exceeding his worst-case estimate of £75,000.
With the hair and beauty sector carrying a wage cost of about 60%, he emphasized that they are hit disproportionately hard compared to other retail sectors.
“We have a 60 percent wage cost, and someone else has 12 percent for the same turnover,” Dicker lamented. “It’s five times as much for us.”
Holding back tears, he expressed frustration at the government’s lack of response to the needs of his industry, stating, “We’ve tried to tell you and you haven’t listened.”
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The emotional appeal resonated as he pointed out the ripple effects of the policy, noting that many businesses might be forced to shift toward gig economy models to survive, thus losing out on vital apprenticeships and traditional employment opportunities.
Chancellor Reeves defended the tax hike, asserting it was necessary for strengthening public finances, but Dicker’s emotional plea highlighted the human cost behind such financial decisions.
“I’m angry, sad, and shell-shocked,” he concluded, reflecting the despair felt by many in the hair and beauty community.
