Business leaders in Somerset have this week welcomed the Chancellor’s budget in which he has decided that business rates will be temporarily axed for retail, hospitality and leisure businesses with a rateable value of under £51,000.
In his first Budget as Chancellor, MP Rishi Sunak unveiled a £30bn package to boost the economy and get the country through the coronavirus outbreak. He is suspending business rates for many firms in England, extending sick pay, and boosting NHS funding. He warned of a “significant” but temporary disruption to the UK economy.
Reacting to the speech, Stephen Henagulph, Chief Executive of Somerset Chamber of Commerce, said: “While as always, the devil will be in the detail, at first glance this appears to be a strong Budget for business – business rates will be temporarily axed for retail, hospitality and leisure businesses with a rateable value of under £51,000 and the scheme extended to coverall those in the hospitality industry below the £51,000 threshold, including museums, small hotels, theatres and guest houses.”
“That is a huge boost to businesses which have already been struggling with the uncertainty created by Brexit and the wider slowdown of the world economy. The Chancellor’s announcement that small and medium sized businesses will be able to claim back the cost of Statutory Sick Pay as a result of the Coronavirus outbreak is also to be welcomed, as is the move to make it available to those who are self-employed.”
“The freeze on alcohol duty will be good news for our regional producers and the increased investment in ‘clean growth’ technology, including research and development and nuclear fusion, is vital to ensure we meet our climate change targets while supporting businesses and helping to grow the economy – as demonstrated by the This is Gravity development near Bridgwater. It was particularly pleasing to hear the Chancellor specifically mention the development of growth hubs in the West of England.”
“Earlier this week the Government announced plans to invest £1 billion to bring 4G mobile phone coverage to 95% of the UK by 2025 – the Budget has further supported this with £5 billion to bring gigabit broadband to rural areas. Good connectivity is key to giving Somerset’s businesses a level playing field, enabling them to work remotely and compete with their big city-based competitors.”
“Business needs good infrastructure – both physical and digital – and the £27 billion investment in roads, coupled with rail improvements and the new pothole fund, is a huge step in the right direction. Business and the Chamber will now be watching for the detail in the hope the pledges do not get lost in red tape, while also ensuring the additional investment is not swallowed up by the North and South East.”
