Member Article

Small businesses’ and entrepreneurs’ Budget reactions.

Small business owners’ reactions to the Chancellor’s Budget.

Director of Circle Square Talent a boutique London Finance & Accountancy recruitment firm.

“Given that Osborne had little room to manoeuvre I believe that this budget has not been as dull as originally billed, just prudent I would say. The fact that some of the upside measures are to be applied in 2015 and beyond says it all. The reality is that UK Plc is still facing a financial hangover from the previous government and will do up until the next election and to 2017/8. For us, growth measures are the most important given that we are a business services company and the CT tax cut by 1% to 20% will certainly help. I like the fact that Schools and the NHS budgets have been ring fenced but in real terms a freeze, if it is a freeze will mean a drop in spending power in those areas once inflation is factored in (I’m not sure if inflation has been factored in – that wasn’t made clear). Has this put more money in people’s pockets? I haven’t read the analysts reports or seen the news but I would realistically say no. Will this stimulate the economy: well there were a few feel good announcements but the backdrop of what is happening in the real economy will probably weigh that down. Infrastructure investment is the way forward: an extra £15bn by 2020 is 7 years too late but once again you can’t spend what you haven’t got. A difficult one but economically astute.”

Patrick King, Director of manufacturing pet products company Liverine pet and animal healthcare.

There is plenty to be positive about from this Budget. As a small business, simple things like the fuel duty rise scrapped and a rise in income tax will help provide that extra income in my own pocket to reinvest back into my business. I look forward to seeing these new developments for small businesses and applying them for my own business growth.

Brian Sceats, Managing Director, Holiday Marbella Ltd.

It seems to be a positive Budget for small business. No National Insurance for the first £2000 for employees will encourage recruitment. 21% Corporation Tax is one of the lowest in Europe and we must act as an encouragement for expansion. No fuel tax rise will also help contain costs. The £10k personal allowance will help employees and put more money in pockets. Probably the Liberal Democrats put pressure on Osborne for this.

I was waiting for a thorough response on the Budget proposals from the Leader of the Opposition but was disappointed. What I heard was a generalised pre-prepared speech on Osborne’s last 3 years. It was as if he hadn’t even listened to the actual proposals. This is a shame as we need a balanced view from all sides.

Duncan Gillingwater, Director of CRM software company WorksIQ.

Having read Section 1.128 of the 2013 budget report (£2,000 Employment Allowance on NICs from April 2014) it does actually look like a lot of small businesses will benefit from this and with the minimum of red tape, for a change! I know from first-hand experience 5 years ago that taking on your first employee can be a daunting step for a small business owner. It would have encouraged me back then to take that first step to give someone a job.

April French, owner SaturdayAcademy, which offers paediatric first aid courses for childminders, nursery workers, parents and carers.

The widening of government support for childcare costs is a good step, but more than the North Sea separates us from Scandinavia.

Why cut the tax on beer when the extra 1p a pint could fund further childcare?

As a sole trader running a small business, I see the increase in the tax threshold as a very positive step. More money in people’s pockets means more spending, hopefully supporting small local businesses.

Stuart Kilroy. Co-founder and Director of Digital Motive. A digital marketing and development agency helping small/medium sized businesses grow online.

It seems as though the government sees small businesses as key to the growth of the economy. This is good news, as they are helping with a cut in corporation tax; increasing the tax threshold and the national insurance savings. So good news on that part.

More could be done for smaller businesses but at least there was a positive for us in this budget.

This was posted in Bdaily's Members' News section by PRmyBusiness .