North West manufacturing leader urges Chancellor to boost local firms
A North West business leader is calling on Chancellor Philip Hammond to use his Autumn Statement to reassure “nervous businesses” following the uncertainty created by the Brexit vote. Andrew Wright reports.
Steve Warren, North West region director of the manufacturers’ organisation EEF made the call after a survey revealed 1 in 4 manufacturing fims were putting investment plans on hold.
According to EEF, the statement should aim to provide better support for growing businesses, extending the scope of research and development tax, which would allow more process innovation by SMEs, and increased funding for export support.
Mr Warren also urges Mr Hammond to look at delivering a more productive and flexible workplace by scrapping plans for an immigration skills charge
And he is calling for a review of the tax system with the aim of encouraging more employers to pay for private health care.
However while EEF supports the Government’s decision to abandon the budget surplus target, the Chancellor faces a balancing act in avoiding an overly expansive fiscal stimulus programme while the consequences of Brexit remain uncertain.
“The Chancellor has a significant opportunity to put a down payment on this through a range of measures which prioritise productivity growth, boost investment in digital technologies and supports exports,” said Mr Warren.
“The whole of Government must get behind UK businesses and demonstrate a clear appreciation of the need to back such a strategy, backing sectors while also tackling systemic problems such as skills, energy costs and infrastructure weaknesses.
“Creating such an environment in the North West will instil confidence in manufacturers to pursue their business ambitions, anchoring investment in our region, and ensuring that we take early advantage of new digital technologies.”