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Business support bodies' reaction to Spring Budget

Following the Chancellor's Spring Budget on 8 March 2017, the Federation of Small Businesses (FSB) has claimed it was a Budget that provided much-needed business rates relief for small business owners worst affected by the revaluation of commercial property.

FSB National Chairman Mike Cherry said: "The £435 million of new money is a direct and much-needed response to those facing astronomical hikes in their business rates. This immediate relief is vital in the short-term, and action on more frequent valuations will also help."

However, the FSB has also warned that higher taxes for the self-employed will drive up business costs and discourage people from starting their own business.

Commenting on the announcement to increase Class 4 National Insurance contributions for the self-employed, IPSE (the Association of Independent Professionals and the Self-Employed) has stated: "Although the government is working to increase support for the self-employed, by broadening access to the state pension and looking into parental leave provisions, this policy misses one key area where the self-employed and employees are innately different - risk."

The British Chambers of Commerce (BCC) has welcomed the Chancellor's decision to delay the introduction of Making Tax Digital for firms below the VAT threshold. Suren Thiru, Head of Economics at the BCC, said: "The temporary deferral of Making Tax Digital for firms below the VAT threshold is a welcome step. However, while this will help to ease some of the administrative burden for our smallest businesses, there continue to be serious reservations about HMRC's ability to deliver such a major undertaking."

To read the full FSB reaction, go to:
http://www.fsb.org.uk/media-centre/press-releases/immediate-budget-reaction-from-fsb

To read the full IPSE reaction, go to:
https://www.ipse.co.uk/news/national-insurance-changes-damaging-self-employed

To read the full BCC reaction, go to:
http://www.britishchambers.org.uk/press-office/press-releases/british-chambers-of-commerce-full-reaction-to-spring-budget-2017.html