Responding to the Chancellor’s statement today (Monday 17 Oct), Dorchester Chamber for Business President Peter Greenway said:
“I am sure you will all know that there has been a major change to the fiscal policy announced 3 weeks ago by the new Government.
The new Chancellor, Jeremy Hunt, has announced that most of the tax changes announced 3 weeks ago will now not be implemented at this stage. There are also changes to the support given to families for the energy crisis funding, this will now be reviewed in April 2023 rather than being in force until April 2024.
Assistance for businesses remains unchanged at present and will also be reviewed in April 2023. The changes announced do seem to have calmed the markets somewhat after a week of turmoil which can only be good for the Country as a whole. Jeremy Hunt has said there will be other difficult decisions to follow.”
Dorchester Chamber for Business is holding a free members MP Q&A event with our local MP, Chris Loder, 0745 – 0930 Friday 21 October at Dorset Museum, light refreshments supplied. Register here: https://www.dorchesterchamber.co.uk/events/21-oct-2022-chris-loder-mp-dorset-museum-free/
Shevaun Haviland, Director General of the BCC, added:
“The Chancellor’s buzzword was stability. But what we’ve seen from him is a plan for today and nothing for tomorrow.
“Following the economic turmoil of the last few weeks he had to press the reset button.
“But businesses will be dismayed by the decision that looks set to strip back the energy support for firms . This will be a hammer blow for many who were already worried about how they will survive.
“The government must commit to a full consultation with firms ahead of that cliff-edge to provide some certainty on where any targeted support will go. Energy costs keep business owners awake at night, alongside rising inflation and interest rates.
“Keeping support for the NICs reversal in place will be some relief for hard-pressed firms, but on its own will not be enough.
“The Chancellor has a delicate balancing act to carry out. He must restore order to the markets if he is to prevent further damage to business and consumer confidence. But if he is serious about stability and growth, he must speak to our Chamber Network to truly understand the pressures firms face.
“People run businesses and businesses rely on people. The Government is failing to fully understand that the cost of living and cost of doing business crises are two sides of the same coin. We still need a clear vision on how it will firms and the communities that rely on them to thrive.
“It must be clear in how it plans to do this, to prove it is serious about helping businesses through the difficult months ahead. Time is of the essence.”