My response, in summary to today’s announcement from Chancellor George Osborne on the emergency budget.

Export:

“I’m struggling to see how the vision of Britain being “open for business” is reconciled with very few real export incentives in this budget, so there needs to be more clarity on how export will play a greater role, which the Chancellor briefly stated.  A reduced tax rate for year on year increased exporting revenues, for example, would give UK exports a massive boost.

“It was disappointing that, despite the change in Government, our trade deficit still isn’t being addressed with the introduction of better export incentives.”

Corporation tax:

“Obviously as an employer it is good to see the reduction in corporation tax but I’m not sure it is attractive enough to encourage inward investment.  A positive start but more could be done.”

Small business funding:

“I think the extension of the Enterprise Finance Guarantee scheme will be welcomed and it will be interesting to see what the promised additional measures to increase access to finance for smaller businesses will actually look like in the coming months.   Hopefully the application process will be clear to navigate and won’t distract too much from day to day trading, which has been a real issue for businesses over the past couple of years.”

CGT

“The increase in CGT to 28% is better than expected to be honest, as a company owner, and the extension of relief from £2m to £5m is a great incentive for entrepreneurs.

“However, there are still areas that need to be addressed around tax avoidance.  The lower than expected increase in CGT could drive entrepreneurs to reduce their salaries and take the hit on CGT rather than paying a higher rate of income tax in the coming years.  Additionally, Private Equity houses and VCs might look to invest elsewhere, where CGT won’t impact their return on investment as much.”

NI:

“A £5000 NI exemption for businesses outside of London is great news for the regions and will encourage more jobs.  The way it is structured will incentivise small companies to take on new staff where they might have struggled through previously with lack of resource.”

VAT

“No great surprise and we will hopefully see a positive impact in the next six months of this increase.”

Oveview:

“I don’t think that the Chancellor was tough enough on welfare state cuts.  If income tax allowances were increased further then there would be more reason for people to get into the workforce.  This was his opportunity to demand a change in mindset and he didn’t emphasise this strongly enough in my opinion.”