Britain’s retailers face having to cut more jobs, drive harder bargains with labor unions and stagger pay increases to absorb the shock tax rises in the government’s revenue-raising budget that kick in this year.

The grocer said the layoffs are part of a simplification of its central divisions and management structures, and include a 20% reduction of senior management roles.

British supermarket group Sainsbury's said on Thursday it was proposing to reduce its headcount by over 3,000 roles as it seeks savings to counter a "particularly challenging cost environment".

Iceland has invited Sainsbury's and Morrisons staff affected by recent job cuts to apply for jobs they currently have available (around 600 vacancies).

Sainsbury’s to axe 3,000 jobs as it warns of cost pressures - The cuts include a 20% reduction in senior management staff, which is understood to be linked to recent tax increases in the Budget.

The strategy aims to expand its core food ranges to a broader customer base while streamlining management and central divisions to enhance the performance of the Sainsbury’s and

Sainsbury’s, one of the UK’s largest supermarket chains, has announced plans to cut 3,000 jobs across its operations as it grapples with a surge in costs, including higher taxes and wage bills following Chancellor Rachel Reeves’s recent Budget.