Britain's business community reacts to the government's Spring Budget

Following the government unveiling the spring budget outlining their fiscal plans, Bdaily hears from members of the business community.

At a glance, the tax cuts in the spring budget include;

• National Insurance cut by 2p
• Capital gains tax on property to be cut
• Freezing on Fuel and Alcohol duty
• Tax relief for savers with new ‘British Isa’
• More ‘expensing’ relief for businesses

Alongside this, where taxes are expected to rise include;

• Tax perks for holiday lets to be scrapped
• Stamp duty raid on multiple purchases
• Tax Raid on Non-doms
• Vapes and tobacco to be hit by duties from by October 2026
• Oil and gas windfall tax extended
• Business class airfares hit with higher duty

We reached out to the business community to find out how they have reacted to the Chancellors latest budget.

Adam Kerr, Managing Partner and Founder of Primas Law, said: “With a general election on the horizon set against the backdrop of a recession, many businesses will have been looking to the Chancellor for some economic dynamism in the Spring Budget,” explains Adam Kerr, Managing Partner at Primas Law. “Those people will come away from today’s budget disappointed.

"There are some interesting targeted schemes but overall this budget seems like a damp squib. Business insolvencies reached a 30 year high in January this year and studies show many businesses struggle to access proper funding; whether to survive or grow. The general feeling from the clients and referrers we speak to remains one of uncertainty, and there seems to be little in the Budget to change that sense."

Raphael Herzog, Chair of the Bristol Hoteliers Association (BHA), said: “Before the budget, more than 40 MPs signed a letter to Jeremy Hunt calling on him to support the hospitality and tourism industries in the budget. UKHospitality and more than 100 businesses wrote an open letter to the Chancellor outlining the support needed to help secure their survival.

“These included a temporary cut to the lower rate of employer national insurance contributions and reducing the rate of VAT for the sector, as the Government did during the pandemic. But it appears as if all those pleas have fallen on deaf ears and we’ve been left out in the cold again."

Commenting on the Spring Budget, Philip Campbell, Commercial Director at MEPC Milton Park, said: “We welcome the Budget measures to accelerate R&D tax relief for life science and advanced manufacturing companies, providing a further boost to the UK’s ambition of becoming a science and tech superpower.

“Similarly, the announcement of an additional £360 million across life sciences, automotive and aerospace sectors is a step forward in helping to turbocharge the UK’s world-leading R&D capabilities across leading innovation clusters.  

“Together, these measures will likely help strengthen the demand for flexible laboratory and commercial space across the UK’s life science ecosystem. Having a streamlined approach to planning, such as the ten-day Local Development Order in place here at Milton Park, will be required to help meet this growing demand now and in the future."