What The Budget Means For You

More than nine out of ten small businesses were left disappointed by the proposals, according to a survey taken by the Forum of Private Business (FPB). Similarly, 87% of companies polled said the Budget’s measures will fail to increase business and consumer confidence in the economy. Unpopular proposals include a planned hike in National Insurance rates and fuel duty. “Judging from the feedback our members have given, smaller firms don’t feel the Chancellor laid the foundations for a better environment in which to do business,” said Phil Orford, FPB chief executive.

However, there were some specific measures included that should help small food retailers and producers. The HMRC Time to Pay scheme, which allows struggling businesses to stay afloat by postponing tax payments, has been given a four-year extension. The amount of Government work awarded to independent companies has also been increased by 15%. Other schemes include the creation of a ‘Credit Adjudication Service’ with powers to overturn loan refusals, and the creation of a dedicated helpline for second-time applicants to the tax deferral process.

“While we’re sceptical of the motives behind some of the measures announced in the Budget, coming so soon before a general election, there are some reasons to celebrate,” said Mr Orford. “As long as they are administered properly, these schemes should provide tangible, on-the-ground support to smaller firms and our members appear to appreciate that,” he added.