Autumn Statement 2024: Business West's Managing Director, Phil Smith, responds to the budget

Phil Smith, Managing Director, Business West said:  

We recognise that the Government faces a tight fiscal position and has had to make hard decisions. However, we are really concerned that raising the tax burden on the business community could hinder the Government’s much sought after growth and undermine investment decisions. 

Through our quarterly economic survey, businesses have told us that rising taxes are an increasing worry. Employer NIC increases will leave companies with less money to invest in their staff and business’s success.  

We welcome measures for small businesses such as changes to the employment allowances, and business rate relief for our region’s retail, hospitality, and leisure sectors. However, such fine margin industries, where employment costs form a large share of their cost base, will be disproportionately impacted by these extra employee contributions.  

Our region has a strong economy that plays a key role in the UK’s overall economic success. We welcome the Government’s commitment to ‘invest, invest, invest’ in our country through the Government’s seven key pillars of economic growth, particularly commitment to supporting our region’s vital industries, such as aerospace, advanced manufacturing, creative industries, and clean energy.

However, we regret that the South West seems to have been missed out from the Autumn Statement plans. Hence now more than ever it will be important for our devolved local and regional leaders to make the case for the government and private sector to invest in our region and its economic growth.