NICs increase will add £140m to wage bill of supermarket, which has announced 5% pay rise for staff

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Changes to employers’ national insurance contributions announced in the government’s October budget will drive inflation, particularly on fresh food, according to the boss of Sainsbury’s as he announced a 5% pay rise for workers.

“It is coming at us fast in a way that was unexpected and will bring inflation as a result,” Simon Roberts, the chief executive of Sainsbury’s, said of the unexpected changes to NICs, which will add £140m to Sainsbury’s wage bill from April.