70% of UK companies plan to cut or freeze pay

The majority of businesses in the UK are planning to freeze wages this year, according to research conducted by the British Chambers of Commerce (BCC).

The BCC's survey of more than 400 companies found that 58% of companies are planning to freeze salaries and 12% will cut their employees' wages.

"There was some support in the Budget, but more is needed to help Britain's embattled businesses so that they can drive our economy out of recession, creating jobs and wealth in the process," said BCC director general David Frost.