Budget good for business, great for savers

DR Ian Kelly, Chief Executive of the Hull & Humber Chamber of Commerce, said today’s Budget was good for business and great for savers.

Dr Kelly said: “We welcome the doubling of allowances for business investment and the expansion of export credit to £3-billion, the business rate discounts and enhanced capital allowances in enterprise zones which have also been extended for three years which may in due course have a big impact in the Humber.

Without damaging the renewable offshore energy industry which is hugely important to the Humber region, it was good to see the Chancellor supporting energy intensive manufacturing industry. The cap in the Carbon Price Floor will help many of our big manufacturing companies which we do not wish to see move abroad”.

A push on house-building with support for building more than 200,000 new homes especially in the south east will help to stimulate the construction industry and the economy generally although we remain concerned about the possibilities of a housing bubble re-emerging if we are not careful.

We were a little disappointed our call for more funding for flood defences after the tidal surge on December 5 has not been answered as more than the £140-million pledged for flood defence repairs and maintenance nationally will hardly satisfy the Humber Estuary’s flood defence needs over the next 20 years as the second most susceptible area for flooding after London.

At a wider level it was good to see the unexpected and radical modernisation of pension rules and the saving limits for ISAs which will be welcome news for many businesspeople and their employees who don’t feel the state should be telling them how to prepare and save for their retirement.

The increase in the income tax threshold to £10,500 will also help all taxpayers, whilst the freeze on fuel duty will add a cheer for motorists along with the 1p cut in the price of a pint – good news indeed!