Small firms struggle with cost of NLW

Almost 100,000 small firms are in a state of financial distress following the introduction of the National Living Wage (NLW), according to research by Begbies Traynor. The research has found that the number of small firms in financial difficulties has increased by 18,000 in the six months since the NLW was introduced, with small firms in particular struggling to absorb higher wage costs. Firms in the retail, wholesale and logistics sectors are the most likely to report financial distress as a result of the introduction of the NLW.

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