A budget for small businesses
‘The FSB asked for a budget for small businesses and this is what has been delivered. This Budget opens the door for small firms to grow and create jobs.’
John Walker, national chairman, Federation of Small Businesses
Personal allowance increase
‘The personal tax allowance increase, on the face of it, looks good, but it will only benefit the population who are currently 20 per cent taxpayers, of which there are fewer and fewer. By dropping the threshold for the 40 per cent income tax bracket, many hardworking people who will begin paying 40 per cent for the first time will not just lose the benefits of the increased personal allowance, they will actually need to pay additional tax on such things as savings and dividends.’
Chas Roy-Chowdhury, head of taxation, ACCA
National insurance cut
‘For UK SMEs, the national insurance contribution allowance should provide well-targeted relief for smaller businesses and encourage employment growth.’
Martin Lambert, head of corporate and international tax, Grant Thornton.
EIS and SEIS
‘The extension of the Capital Gains Tax relief for the seed enterprise investment scheme (SEIS) was signalled by the Chancellor as a victory for small businesses, but while many will appreciate the sentiment, the fact that the relief has been cut by 50 per cent will have dampened spirits slightly. Noticeably absent from the Chancellor’s speech was any news of extending or enhancing the Enterprise Investment Scheme (EIS). Many were hoping to see the Government offer more help to start-up companies looking for second round finances, but nothing materialised.’
John Williams, managing partner, Kuber Ventures
Access to finance
‘Frankly, the failure to acknowledge the difficulties that SMEs face in accessing finance and to direct funding to the companies that can get it to them seriously weakens this Budget. Mr Osborne has failed to confront the failure of Funding for Lending and other schemes.’
Anil Stocker, co-founder, MarketInvoice
Start-up loans scheme
‘While we welcome further funding for the Start-up Loans scheme, supporting 18 to 30 year olds to start their own business, we would like the Government to begin new initiatives to help people over the age of 50 to become self-employed. Mature people are crying out for employment opportunities.’
Nick Bunting, CEO, The Prince’s Initiative
