Commentary on this week's Spring Statement

Added by Love Business East Midlands | 15 March 2018

UPDATED: 15 March 2018

While some have criticised the Spring Statement for lacking in policy, I know businesses in the East Midlands will be happy that that’s the case as businesses need certainty.

Whenever the government announces new taxes or regulations, businesses have to consider amending their plans and projects, which can be costly and time consuming. Not having changes to contend with means that no news is good news, bringing greater certainty at a time when businesses face a great deal of uncertainty elsewhere regarding Brexit.

While there were no major policy announcements, the news that the economy grew faster than expected is very welcome news, meaning the country’s economy has been growing every year since 2010.

Among our clients, we have seen similarly positive changes in our region to those highlighted by the Chancellor, which is encouraging. More jobs, rising wages and continued growth (particularly in manufacturing) is good news and business leaders will be pleased with

the upcoming reduction in business rates.

Some of the future policies on which the government is consulting are clearly directed towards

their green agenda - particularly a possible tax on plastic bags as well as a reduction in tax for

low polluting vans, which is aimed to help “white van drivers” go green. We also await more

information on the new VAT collection mechanism for online retailers.

Businesses in rural areas will benefit from the Chancellor’s restated commitment to investing in high speed broadband, and small and growing businesses will be pleased with the new £80m

apprenticeship levy which will help them engage with apprentices.

In all, I think it was a positive statement which was full of positive economic news.