Feedback from Staffordshire businesses is strengthening the county’s case in a letter to Chancellor Rachel Reeves ahead of this week’s budget, which urges her to back businesses and boost confidence.
Staffordshire Chambers of Commerce CEO Rachel Laver has used data from its quarterly economic survey to flag the issues that matter to businesses in Staffordshire.
Evidence from the survey is used to influence policy and decision makers, and carries a strong case to the chancellor days before her landmark budget is unveiled.
Rachel wrote: “Results from the quarterly economic suggest a rise in the number of businesses who are pausing investment in plant, machinery and training.
“We hear anecdotal evidence of businesses holding back on commitments.
“Business confidence is far from certain and we hope this will improve through the announcements you will be making in your Budget on Wednesday 30th October.”
The letter calls for:
• Rollover funding for at least the 2025-26 fiscal year, enabling a smooth switch over as a replacement is launched for Shared Prosperity Funding (UKSPF) to avoid a “catastrophic cliff-edge for business support.”
• Clarity and simplification of any future programmes of business support. The chambers are currently delivering £2m worth of business support… a catalyst for growth.
• More government support to build on the success of work to map out local skills needs and an extension to the Local Skills Improvement Fund, which allows further education and independent providers to invest in the skills and technology they need to meet the skills needs of businesses.
• An expansion of full expensing to include leased assets, in recognition of the fact that not all businesses own their machinery or find themselves in a position to buy new plant and other assets.
• Timely reform of the business rates system to look at the idea of annual revaluations cycle and a lowering of the multiplier. In addition, progress in looking at the future relationship between taxation of in-person and online sales.
• A restart of the VAT registration review and explore a smoothing mechanism to decrease the bunching effect and limit administrative complexity.
• A review the current (R&D) tax relief enforcement campaign, ensuring that it acts in a manner which reduces the collateral damage to the economy, the accounting profession, and legitimate claimants. We hope to see improved accountability and improved HMRC caseworker training.
• Clear and transparent consultation by government, when changes to the tax system are proposed.
Rachel invites the chancellor to return to North Staffordshire to meet with businesses and share her “vision for the future and how the Government will support businesses in our region, in the years ahead.”
Chamber Policy Adviser Declan Riddell said: “Our representations to the Chancellor ahead of this most crucial budget for businesses is all the stronger because of the data we receive as pat of our quarterly business survey (QBS).
“The last survey received a record response and the data it provided was invaluable as we act as the voice of business in Staffordshire.”
The next QBS starts on November 11 and businesses in the county are urged to look out for communications from the chambers which share a link to the survey.
