Business leaders in Staffordshire say the autumn budget could make or break them
Jeremy Hunt is expected to promise a plan to weather an economic "storm"
Last updated 17th Nov 2022
Business leaders across Staffordshire say they're counting on the Chancellor's autumn statement to make things easier, with many calling it their last resort to survive past Christmas.
It's as the country braces itself for billions of pounds worth of tax rises and spending cuts as the Chancellor prepares to deliver what's being dubbed as an autumn budget.
Jeremy Hunt will promise MPs a plan to weather an economic "storm" as he risks a backlash to his plans.
He will insist to MPs on Thursday that his autumn statement puts the UK on a "balanced path to stability" as he tackles the "enemy" of inflation, which has soared to a 41-year high.
Mr Hunt will say his "difficult decisions" are necessary to keep mortgage rates low and tackle the rocketing energy and food prices intensifying the cost-of-living crisis.
The Chancellor will insist his strategy "protects our long-term economic growth" while being "compassionate" to the most vulnerable on society.
Concerns on not helping small businesses further
There's concern about the impact of further burdens and less relief on thousands of businesses, mainly small firms.
Karen Woolley, Development Manager at Staffordshire's Federation of Small Businesses said:
"For us, the government's immediate focus should be on stabilising the economy, and delivering swiftly in the next couple of weeks the promised support for small businesses on energy bills.
"We welcome the reversal in the hike in national insurance, which has just come into effect. But again, more is needed given the scale of the situation.
"Beyond that we need pro-business measures, measures will need be needed to secure prosperity in the medium and long term. Government action to tackle late payments would really improve cash flow for many small businesses without actually costing the taxpayer anything."
"In the last two years the UK small business community has shrunk by nearly half a million, which is staggering."
Karen said: "Small business entrepreneurs are resilient and innovative, but the current headwinds are gale-force for some of those small firms, and they drive economic recovery and future prosperity. So, we are really needing now more than we have in a very, very long time a pro-small business environment in which to operate and to grow.
"One in five micro businesses with under 10 employees are saying that they've got less than a month's worth of cash reserves, while the same is true for one in nine with employees between 10 and 49. So this shows how thin the cash cushion is for these thousands of small businesses. And how perilous the situation is getting for them."
Karen concluded: "The Chancellor and the Prime Minister must include measures to kickstart the economy, get it growing again, to stimulate small businesses and give them an operating environment that allows them to get through the winter and flourish into next year."
Labour says Britain "falling behind".
Labour warned that Britain is "falling behind on the global stage".
Shadow chancellor Rachel Reeves said: "The country is being held back by 12 years of Tory economic failure and wasted opportunities and working people are paying the price.
"What Britain needs in the Autumn Statement today are fairer choices for working people, and a proper plan for growth."
The Liberal Democrats warned stealth taxes accompanied by a "barrage of bills" and rising mortgages will leave a typical family £4,900 worse off next year.