The co-founder of British sportswear brand Castore has launched a strong critique against Chancellor Rachel Reeves' decision to freeze income tax thresholds, labelling it a damaging move for entrepreneurs and wealth creators.
Budget Move Draws Business Criticism
Tom Beahon, who leads the Manchester-headquartered company alongside his brother Phil, argued that freezing thresholds represents a way of delaying the inevitable impact for those driving economic growth. The policy, announced in the Budget on Wednesday 26 November 2025, was accidentally revealed early in an OBR report published before the Chancellor's House of Commons address.
Beahon stated emphatically: "You can’t build a growth economy by disincentivising risk taking." He highlighted Castore's own contribution to job creation and investment in the North, while expressing concern that "an agenda that taxes success rather than supports it makes that harder."
Significant Taxpayer Impact Revealed
The threshold freezes are projected to have substantial consequences for millions of Britons by 2030. According to official estimates:
- 5.2 million people will start paying income tax for the first time
- 4.8 million people will move into the higher rate tax band
- 600,000 people will become additional rate taxpayers
This translates to 780,000 more basic rate taxpayers and 920,000 more higher rate taxpayers. Chancellor Reeves confirmed the measure will raise £8 billion for Treasury coffers.
Broader Implications for Business Environment
Beahon's comments reflect wider business concerns about the UK's economic direction. The Castore CEO emphasised the need for "an environment that rewards ambition" if the government genuinely wants to unlock growth.
Castore, which counts tennis star Andy Murray and billionaire Issa brothers among its high-profile backers, has been subject to speculation about potential public listing throughout the year. However, it remains uncertain whether the company would choose the London Stock Exchange or rival markets like New York for any future flotation.
The sportswear brand's leadership has positioned itself as representative of British entrepreneurial spirit, making their criticism of fiscal policy particularly noteworthy during this Budget announcement period.
