Today's Budget was approached with concern by many based on the promise of the Chancellor that it would be 'painful'. Having listened to the Budget Speech and begun to review the Budget in full, while she has delivered on this aspect, the Budget overall strikes me as a missed opportunity for real innovation to boost growth and prosperity.
I believe the best people to deliver growth, and the resulting investment in public services, are businesses. The State's role is to facilitate, to incentivise investment and ensure the UK is attractive to large businesses, and supportive to small business and start ups. The burdens on business announced today will stifle growth and investment, increasing both costs and regulations for businesses of all sizes.
Household too will feel the pain from this Budget. Announcement today will see employers national insurance rising, capital gains tax rising, inheritance tax rules expanded, VAT on private school fees to be introduced in January, alcohol duty rising, savings thresholds frozen, car tax rising, air passenger duty rising, universal winter fuel payments scrapped, and more.
On cuts, Defence spending is to increase by less than our annual commitment to Ukraine. While I fully support Ukraine and the Government's position, it cannot be right that this will mean a real terms cut to wider defence spending at a time of heightened international tension and instability. I also have significant concerns over the detail of SEN funding announced, and have written to the Chancellor, which you can see attached.
During the election this Government promised Britain it would deliver growth, and not raise taxes on working people. I believe very few people will consider these not to have been broken in light of the announcements today.
