How Does the Spring Statement Affect Small Businesses?

With businesses facing a fourfold increase in energy costs, confidence weakening because of the war in Ukraine and increasingly congested supply chains, this financial year isn’t looking like the effortless bounce-back from the pandemic that some were predicting.

The business rate discount of 50% was re-iterated (with a £110,000 cap per company), R&D tax credits are to be reformed with potential to make them more generous this autumn, and the biggest cut in fuel duty ever has been announced with a 5% cut until March 2023.

However, business leaders are describing the Spring Statement as a “missed opportunity” to address the huge cost pressures on British businesses and the economy – with little support for businesses struggling with soaring energy costs, supply chain worries and staff shortages.

For a more comprehensive breakdown of the Spring Statement’s impact on small businesses, we recommend the coverage of the statement in yesterday: