Pictured above: Mark Harris
A leading Shropshire business improvement consultant has accused
the government of producing a clever piece of political window
dressing rather than a Budget that provided real help for
businesses.
Mark Harris, Managing Director of business improvement
consultancy, The Business Company, based near Shrewsbury, said the
Budget was just a 'holding' job that was designed to be a thinly
disguised political manifesto.
"It is fair to say that after two years of economic downturn,"
he said, "the Chancellor has clearly recognised the need to place
business at the heart of this budget 'manifesto'. And there is no
doubt that doubling the annual investment allowance, helping with
business rates and allowing entrepreneurs to keep more of their
gains will prove popular."
"However, much of what was outlined will, in all reality, not
come to fruition - as whichever political party is elected will
need to re-set out their store in the first budget, which will come
at the end of June or at latest early July."
"From a small business perspective, what many early commentators
on the superficial benefits of the Budget failed to consider was
the effects of announcements in the previous budget which are being
felt today. Things such as higher rates of national insurance
contributions, higher fuel duty - even if it is phased in, 50%
income tax and higher rate pension relief restrictions."
Based on his own experience of working with small successful
businesses that are looking to grow, Mr Harris says the last twelve
months has also shown that banks are not interested in investing to
support the small business sector. He believes on balance this
points to a bleak picture for the small businesses that are the
backbone of the British economy.
"Whoever is successful in the next election," he says, "I would
implore them to support the dynamic, innovative entrepreneurs who
are going to need incentives and real help to drive their
businesses forward and generate the wealth, profits, jobs and
investment this country desperately needs. The next Chancellor must
set out a clear plan for the reduction of the budget deficiency
which still continues to threaten business confidence and
investment, and make cuts in the public spending, quangos and waste
that is dragging this country to the brink of bankruptcy."