AO Boss Criticizes Government, Calls for Support for UK Success Stories
**John Roberts**, founder and chief executive of **AO**, has voiced strong concerns about the challenges facing UK businesses due to government policies. He argues that rising costs and regulatory burdens are hindering their ability to compete with international rivals, despite AO's success as a £564 million empire employing 3,000 people in the UK.
From £1 Bet to Appliance Empire
Roberts' journey began with a £1 bet and the launch of Appliances Online, now known as **AO**. The company sells a wide range of household appliances, from **TVs and laptops** to **fridge freezers, washing machines, kettles, and toasters**. Through strategic leadership and innovation, AO has overcome post-pandemic challenges and international expansion hurdles, even recently initiating a share buyback and raising its profit outlook.
Government Policies Impeding Growth
Despite AO's strong financial performance, Roberts expressed his frustration in an interview with the BBC's "Big Boss Interview" podcast. He believes the government is creating unnecessary obstacles for businesses. Tax increases, specifically the rise in employer's National Insurance, and concerns surrounding the Employment Rights Bill are making it more difficult for companies like AO to take risks on hiring and compete with rivals facing fewer financial burdens.
Call for Government Support
"We can't carry costs that some of our competitors are not carrying. It's as simple as that," Roberts stated. He emphasized **AO's** commitment to the **UK**, highlighting its role as a major employer and service provider. He believes the government should be actively supporting and "turbocharging" UK businesses instead of placing them at a disadvantage. AO previously warned of an additional £8 million in annual costs due to increased National Insurance and the minimum wage.
The "Grit" in the Machine
Roberts cautions that these rising costs are acting as "grit" within businesses, hindering competitiveness. He calls for a focus on **job creation**, rather than policies that discourage recruitment and limit opportunities for individuals. The additional costs stemming from new regulations directly translate to reduced competitiveness in a global marketplace.
Key Concerns Summarized
| Concern | Impact |
|---|---|
| Increased National Insurance Contributions | Higher operating costs of £8 million annually. |
| Impending Employment Rights Bill | Discourages hiring and taking risks on employees. |
| Minimum Wage Increase | Adds to the overall cost burden. |
| Competition with International Rivals | Uneven playing field due to differing cost burdens. |
