Tuesday, August 4, 2020

Spring Statement response: James Pinchbeck, Marketing Partner at Streets Chartered Accountants

Following yesterday’s Spring Statement by the Chancellor, we catch up with James Pinchbeck, Marketing Partner at Streets Chartered Accountants for his response:

“What timing – could the Chancellor‘s Spring Statement help to avoid a no-deal Brexit?”

“With the House due to vote on a no-deal Brexit only hours after the Chancellor of the Exchequer’s Spring Statement, it was probably to be expected to hear a rally calling to avoid the potential of a no deal outcome.

“Certainly the Spring Statement is not an occasion for announcing any significant changes to taxation or public spending – the timing for that is the Budget in the Autumn. The Chancellor described the UK economy as being at the end of austerity, where there is sustainable growth, unemployment is low and wage growth is strong.

“He recognises and did stress that uncertainty around our leaving the EU was likely to impact on our economic performance. A no-deal or crashing out of the EU could have a negative impact on the economy in the short term, with the potential risk of increased unemployment, lower wages and higher prices in the shops. However, he was quick to indicate that plans were in place to deal with such outcomes in terms of intervention and support that the government and Bank of England might provide in what he deemed a short-term shock. In the medium to longer term it was felt we would be better placed to realise the opportunities that prevail for global trade and what has become known as the Brexit dividend.

“The Chancellor spent much time painting a picture for a highly competitive and productive UK economy, one that is very much a global player, even a leader. He too, perhaps, regurgitated announcements around support for the digital and technology sectors of our economy and pledges to ensure our public sector, including health and education are world class. There was though ‘new’ money, some £3 billion, to help build 30,000 affordable homes, which is good news for those looking to own their own home.

“His statement really only included three key specific announcements, which were were around addressing the issue of late payments being made to small businesses by larger entities, the provision of sanitary products for female secondary school and college students and the provision of additional funding to cover extra overtime for police to deal with issues such as an increase in knife crime.

“Overall the crux of his message, whether deliberately orchestrated for today or not, was more to impress on the House and their electorate the need to avoid crashing out of the EU and a no deal Brexit. In essence, the economic prosperity of the UK is to a great extent dependent on creating certainty, which seems to rely heavily on the House, the outcome of votes and the impact of the same on Brexit. Whether Philip Hammond’s Spring Statement was enough to change the outcome of the vote and Brexit, only time will tell.

“Certainly, it is not unrealistic to expect an interesting Budget in the Autumn regardless of what happens on the 29th March or after. Who knows we may still have an emergency Budget? ”

Streets Chartered Accountants is a top 40 UK accountancy firm.  Telephone 0845 8800320, emailinfo@streetsweb.co.ukor visit www.streetsweb.co.uk

A message from the Editor:

Thank you for reading this story on our news site - please take a moment to read this important message:

As you know, our aim is to bring you, the reader, an editorially led news site and magazine but journalism costs money and we rely on advertising, print and digital revenues to help to support them.

With the Covid-19 lockdown having a major impact on our industry as a whole, the advertising revenues we normally receive, which helps us cover the cost of our journalists and this website, have been drastically affected.

As such we need your help. If you can support our news sites/magazines with either a small donation of even £1, or a subscription to our magazine, which costs just £31.50 per year, (inc p&P and mailed direct to your door) your generosity will help us weather the storm and continue in our quest to deliver quality journalism.

As a subscriber, you will have unlimited access to our web site and magazine. You'll also be offered VIP invitations to our events, preferential rates to all our awards and get access to exclusive newsletters and content.

Just click here to subscribe and in the meantime may I wish you the very best.




Latest news

ABP deal sees British Steel resume control of Immingham Bulk Terminal

British Steel has resumed operation control of Immingham Bulk Terminal (IBT) after completing a deal with Associated British Ports (ABP). The facility operated by British...

Revenue rise for electronics manufacturer

Filtronic, the AIM-listed Shipley-based electronics manufacturer, has reported a rise in revenue in full-year results released this week. For the year ended 31 May 2020,...

Discretionary Grant Fund reopens to COVID-hit Leeds SMEs

Leeds-based SMEs and charities in Leeds affected by COVID-19 are being urged to apply for support as the Discretionary Grant Fund (DGF) reopens for...

SME manufacturing activity falls at record pace

SME manufacturing output volumes fell at the fastest rate on record (since October 1988), according to the latest quarterly CBI SME Trends Survey. The survey...

Lockdown leads to sales surge for Gelder’s online business

The COVID-19 lockdown has delivered a sales surge for Lincolnshire-based Gelder Group’s online business, LoveDIY. Amongst the thousands of tins of emulsion, 844 tins of...

London Oracle specialist swoops for Leeds counterpart

One of the largest independent Oracle partners in the UK has been formed with the acquisition of Leeds-based Explorer UK. The company has been acquired...

Related news

ABP deal sees British Steel resume control of Immingham Bulk Terminal

British Steel has resumed operation control of Immingham Bulk Terminal (IBT) after completing a deal with Associated British Ports (ABP). The facility operated by British...

Revenue rise for electronics manufacturer

Filtronic, the AIM-listed Shipley-based electronics manufacturer, has reported a rise in revenue in full-year results released this week. For the year ended 31 May 2020,...

Discretionary Grant Fund reopens to COVID-hit Leeds SMEs

Leeds-based SMEs and charities in Leeds affected by COVID-19 are being urged to apply for support as the Discretionary Grant Fund (DGF) reopens for...

SME manufacturing activity falls at record pace

SME manufacturing output volumes fell at the fastest rate on record (since October 1988), according to the latest quarterly CBI SME Trends Survey. The survey...

By continuing to use the site, you agree to the use of cookies. more information

The cookie settings on this website are set to "allow cookies" to give you the best browsing experience possible. If you continue to use this website without changing your cookie settings or you click "Accept" below then you are consenting to this.

Close