Ahead of Wednesday’s budget announcement, the Confederation of British Industry (CBI), the UK’s main business lobby group, has issued a strong call to the government: avoid tax increases and prioritize economic growth.

CBI Director General Rain Newton-Smith is expected to warn that introducing new taxes could significantly increase the financial burden on households. According to the group’s estimates, such measures could cost British families up to £1,000 more per year, at a time when inflation remains high and real wages are stagnating.

The CBI also cautions that businesses — already struggling with rising operating costs, post-Brexit uncertainty, and slowing domestic demand — could see their competitiveness further weakened if tax pressure intensifies. “This is the time to invest in productivity, innovation, and skills, not to hold the economy back with additional charges,” a statement from the organization said.

As Chancellor Jeremy Hunt prepares to unveil his budget, business leaders are hoping for concrete measures to stimulate private investment, improve infrastructure, and boost employment. The CBI stresses the need to restore confidence among entrepreneurs and consumers — both critical to a sustainable recovery.