Accountancy and business advisory firm BDO has greeted Chancellor Rishi Sunak’s budget announcement with praise after promises of “levelling” up the economy brought back a level of certainty to the UK.
With pledges to provide a £30bn fund in the wake of the coronavirus crisis, a cut to entrepreneurs’ relief and a hike in the standard National Insurance threshold, Terry Jones, Head of BDO LLP in Yorkshire, said that this year’s budget is a welcome message to stabilising the Northern economy.
He said: “Today’s Budget made an encouraging start towards the Government promise of ‘levelling up’. Significant pledges were made around infrastructure investment, enhanced devolution and investment in education across the regions. West Yorkshire’s devolution deal is welcome news for the region and the appointment of a Metro Mayor is a crucial part of delivering a genuinely cross-region, unified strategy.
“At a time of extreme uncertainty, smaller business owners particularly will feel some reassurance around the measures put in place to help them manage the impact of Coronavirus on their employees, business and their contribution to the economy.
“For entrepreneurs, the decision to lower the threshold for entrepreneur’s relief rather than abolish it is a welcome message for the 80% of business owners who will remain unaffected by the change. Alongside this came the commitment to continue to invest in ideas by encouraging R&D and green growth.
“Before the Budget, businesses we spoke to called for simplification of a tax system which has roots in the 19th century and has grown by adding taxes, reliefs and complex rules. I’m not sure today’s announcements have answered that call, but the Chancellor has gone some way in backing entrepreneurial businesses to unlock growth.”
