LONDON – Businesses have been voicing concern over the cost of a new living wage proposal in the United Kingdom. The most recent proposal would boost the current minimum wage of £6.50 (about $10) an hour to £9 (about $14) by 2020. In return, businesses would receive benefits including a reduction in corporate tax from 20% to 18% by 2020.

But, like U.S. business owners facing a move toward a higher minimum wage, many in the business community are worried that the higher wages will necessitate difficult decisions and perhaps even loss of jobs.

The retail sector is expected to be worst hit, with small shops in particular bearing the brunt. In fact, the Association of Convenience Stores (ACS) has called it a "reckless measure," according to news reports. ACS Chief Executive James Lowman said: "The introduction of a compulsory living wage will have a devastating impact on thousands of convenience stores. This will lead to retailers having to reduce staff hours, work more hours in their business and ultimately cancel their investment plans."