Chamber Reaction to Spring Budget
Date published:
Rhiannon Bearne, Policy and Representation Director at the North East England Chamber of Commerce:
Today’s Budget covers some important policy territory for the North East. On childcare, support for older workers and devolution and Investment Zones, it appears the Chancellor has listened to many of our members’ calls. This is positive news for people living, working and earning in the North East.
The announcement of two Investment Zones for the region is positive news and will complement existing and expanding devolution arrangements. Opportunities for local leaders and stakeholders to maximise the impact of these plans are welcome.
There were also positive announcements in the net zero space with initiatives to support carbon capture technology and modern nuclear energy, both areas in which Teesside has real strength.
The Chamber’s asks on childcare have begun to be addressed, with interventions to address both supply and demand in relation to the childcare market. Helping more parents to access work will have a major productivity dividend. The government needs to make sure that childcare providers and schools have the support to cope with this demand.
Our Budget submission had a strong focus on reducing economic inactivity so it’s reassuring to see the government’s focus on older workers, the midlife MOT offer and the Returnerships announcements. However, once again, the under investment in our further education system has been overlooked. This is a vital feature of the skills system and we will continue to lobby for full and fair support.
There were also some missed opportunities on tax deductions, and a lack of incentives to encourage businesses to invest in workforce development, notably freeing up the Apprenticeship Levy.
Our most recent Quarterly Economic Survey found that nearly 90% of businesses were concerned about energy costs. We were pleased to see extended support for domestic energy users: businesses also need this certainty of support as the market settles.
In the run up to the Budget, our region spoke with one voice on critical issues like devolution, skills and childcare. It appears the Chancellor has listened – we will continue to work with our members and wider partners to keep this important dialogue going.
Download our briefing document here.
Read Rhiannon Bearne’s blog post here.
Find our Chamber Partner’s reactions here.