North East Federation of Small Businesses reacts to 'tough' Autumn Statement

THE North East's Federation of Small Businesses' (FSB) Development Manager said they had a "fair idea" of what was coming with yesterday's Autumn Statement but added that it wasn't any "easier to hear".

Chancellor of the Exchequer Jeremy Hunt announced tens of billions of pounds worth of spending cuts and tax rises in the statement.

However, some of the changes do not apply in Scotland as some tax-raising powers are devolved to Holyrood.

Mike Duncan, FSB Development Manager in the North East, said that today's statement was a missed opportunity to reduce uncertainty among local businesses.

“Businesses, like households, are extremely anxious about sharp, unaffordable rises in their energy bills," he said.

"The Autumn Statement was an opportunity for the Government to announce details about what support firms should expect when the Energy Bills Relief Scheme closes at the end of March. Unfortunately, no details were forthcoming.

“It would be a cruel April-fool if, late in the day, many small business owners found themselves excluded from a targeted extension of the Energy Bills Relief Scheme.

"The FSB argues that if there must be targeted support then it must be based on business size, not business sector, and that to reduce uncertainty and help businesses plan for the future, we need to know the details sooner rather than later.

"While tackling inflation is essential, so are measures to create conditions for prosperity and growth, and today, opportunities to reduce uncertainty have been missed.

"It is vital that all spheres of government enable businesses to grow, innovate and overcome bureaucratic hurdles.

"That is the key to getting local economies and communities out of this crisis and back to growth."

Do you want to respond to this article? If so, click here to submit your thoughts and they may be published in print.