What the Chancellor’s Budget means for Birmingham

Local TV

A clear look at how the Chancellor’s Budget lands in Birmingham, focusing on wages, household pressures and the shifting costs facing local employers. Includes expert analysis from the Greater Birmingham Chambers of Commerce.

Transcript

00:00The budget holds tax rights steady but keeps income tax and the national insurance thresholds

00:05froze under 2031, pulling more workers into higher bands.

00:09Taxes on savings, dividends and at rental income rise by two points and high value homes

00:15face new surcharges.

00:17The two child cap ends, energy bills dip slightly and business rights shift to help high streets

00:22while rising costs for major warehouses.

00:25For a region built on retail, low pay and logistics, these decisions matter far more

00:29than the political packaging.

00:31I mean, the top line is the budget doesn't go far enough to do businesses, the confidence

00:38and the confidence boost that they need.

00:42There are some positives in there, I mean it's good to see more funding for regional authorities,

00:50it's good to see welcome cuts on energy bills, particularly for manufacturers, commitments

00:57driving further firm-led innovation is really positive and obviously we welcome announcements

01:02around offering free apprenticeships to SMEs and supporting more people into the world

01:05of work.

01:06Low wages, high rents and deep child poverty shape the West Midlands more than national

01:12averages.

01:13Ending the two child cap gives significant help to many families and the higher minimum

01:18wage matters across retail, care and warehousing.

01:21But frozen thresholds quietly rise the tax hike from workers while the higher levies on savings

01:27and rental income hit people with modest buffers.

01:31Not just high earners, in Birmingham's mixed low margin economy these shifts stack up quickly.

01:36So there's some good news for residents in terms of energy prices, there's also some good news

01:43for those who are out of work and looking to access work in terms of there being more support funded

01:48by the government and to support them to access employment opportunities.

01:52I would say those are really the big gains, there's also some gains in terms of supporting

01:59people more broadly, in terms of the welfare state but in terms of, as it stands for businesses,

02:07the budget doesn't offer an awful lot in terms of confidence inspiring messages.

02:14The Chancellor talks about stronger shoulders taking more but the burden spreads across middle

02:18earners, small cybers and landlords.

02:21Drivers see fuel duty frozen now but face per mile charges on electric and hybrid cars from 2028.

02:28Warehouses and distribution centres central to the black country face higher business rates

02:33while shops get limited relief.

02:35For a region reliant on commuting, car use and logistics, the fairness of this balance is a large question.

02:42Consumers will obviously welcome a much needed cut on energy bills and many manufacturers will benefit

02:47from a similar steam but firms operating in hospitality and retail have also been crying out for support

02:53on that front and unfortunately it doesn't look like they're going to be getting that support.

Category

Transcript

Be the first to comment

Recommended