Chancellor 'under pressure' to deliver for East of England - business group
The Eastern Powerhouse says it's concerned if transport projects will take place
A group representing businesses in the East of England has said the Chancellor's under pressure to try and grow the regional economy.
In her budget yesterday, Rachel Reeves announced 750,000 retail and hospitality firms, including shops, pubs and cinemas will have business rates lowered, paid for by higher taxes for premises worth more than £500,000.
Unemployment is also predicted to be higher than previously forecast until 2029, peaking at 1.8 million next year.
"There's a lot of pressure she's under; it's very difficult," James Palmer, chair of the Eastern Powerhouse, said.
"But you either try and grow the economy or you don't.
"I haven't seen many policy announcements that lead me to think the economy is going to grow or investment into infrastructure is going to be greatly improved."
Cambridge growth will have little impact on rest of region - Palmer
Last month, the Government pledged £500 million to support the Oxford to Cambridge growth corridor, including major funding for development in Cambridge.
It's also pledged £2.5 billion to East West Rail, which aims to connect Cambridge, Milton Keynes and Oxford.
"Focusing on Cambridge and Oxford is fantastic, but if you look at the East as a whole, Cambridge is a percentage of the economy in the East of England," Mr Palmer said.
"That means 92% of the businesses and people in the East won't have any impact from Cambridge growth."
One of the regional highlights from the Budget was £20m announced to help build a new sports quarter in Peterborough, including a new indoor pool.
Andrew Pakes - the city's Labour MP - hailed the Budget as "tremendous for Peterborough and Cambridgeshire".
Infrastructure worries
But it's unclear if infrastructure projects remain in the East will take place.
Speaking to us earlier this year, Mr Palmer said the country "should be completely ashamed that we have a major block to infrastructure".
His comment came after funding for rail junction improvement schemes in Ely, Cambridgeshire and Haughley in Suffolk were not included in Ms Reeves' summer spending review this year.
"Putting investment into things like the A12, the A47, these are campaigns that have been running for years, it's completely unacceptable (that no funding has been committed)," Mr Palmer said.
"The blame for that is the way the Government is set up, the infrastructure within the mechanism of Government itself.
"Time will tell if Rachel Reeves is right (with her Budget plans), we would suggest the best way to kickstart an economy is to help businesses grow and not tax them into oblivion."
Ms Reeves has previously said she's committed to "fixing the foundations" but that "there's more to do."