Knowsley family firm JJ Smith supplies woodworking machinery to clients across the UK and says last week’s Budget could provide a significant boost for post-pandemic growth. Tony McDonough reports

A Merseyside business which is a leading supplier of woodworking machinery says new tax breaks to support investment in new machinery is a “fantastic opportunity” for its customers.

JJ Smith in Knowsley is UK-wide supplier of woodworking and offsite construction machinery. It was founded in 1923 by four brothers and remains a family-run business with a third of its 36-strong team descendants of the original founders.

Last week, Chancellor Rishi Sunak’s spring Budget focused on new machinery investment. Beginning April 2021, the Government is investing £25bn through the 130% super-deduction.

Companies can cut their taxes by up to 25p for every pound they invest in new machinery. If a company were to invest £50,000 in new machinery, they would reduce their taxable income by £65,000.  

Commercial director, Rachael Baker said: “This provides a fantastic opportunity for UK businesses to invest in new woodworking machinery that will enable them to be more productive, innovative or efficient while simultaneously reducing their corporation tax liabilities.

“If companies use this incentive from the Government to buy machinery from us, they know that they will be getting world class equipment with long-term support from a company that has been trading for nearly 100 years. This incentive could be a fantastic opportunity for a large number of our customers to take on new projects and we’re excited to see what they do with it.”

JJ Smith also supplies machinery to the offsite construction industry and welcomed the increased focus on modern methods of construction (MMC). Liverpool city region was highlighted as having an ambitious proposal for MMC in the Budget.

Managing director Martin Smith added: “JJ Smith welcomes the focus in the budget on investment in the construction industry as a key driver for jobs and prosperity in the UK. As a leading supplier, through its subsidiary company Modular Building Automation, of automated equipment for the offsite sector, the company is well placed to assist businesses large and small looking to innovate in this sector.” 

The business was also pleased with the announcement of an additional £126m for 40,000 more traineeships in England. JJ Smith is a long-time investor in training and apprenticeships. One of its latest success stories is Ben Pybus who has just completed his apprenticeship and is now a fully qualified engineer.

Operations manager Dave Moore said: “Ben has shown a fantastic aptitude for engineering over the course of his apprenticeship and we’re very proud of all that he has achieved.  He is a real asset to the company and he has a bright future ahead of him.”