Three Yorkshire chambers of commerce have joined forces to urge the Chancellor to use the Autumn Budget as a catalyst for unlocking business growth.
Representatives from the three South Yorkshire鈥檚 chambers 鈥 Sheffield Chamber of Commerce and Industry (SCCI), Barnsley & Rotherham Chamber and Doncaster Chamber 鈥 have warned that adding to the business tax burden will prevent growth, drive up inflation and ultimately cost jobs.
The South Yorkshire Chamber鈥檚 latest Quarterly Economic Survey, which benchmarks business confidence across the region, suggests a number of businesses are putting recruitment decisions on hold, with concerns about the proposed Employment Rights Bill, along with increased costs associated with recruiting, and retaining staff at the forefront of business leaders鈥 minds.
The research, which forms part of the British Chamber of Commerce鈥檚 quarterly business review, revealed that business confidence has fallen to its lowest levels since 2022.
In response, the South Yorkshire chambers have called on the Chancellor to use the budget as an opportunity to stimulate rather than stifle growth, by unlocking the growth barriers facing businesses and making a commitment not to raise business taxation.
Louisa Harrison-Walker, CEO of Sheffield Chamber of Commerce and Industry, said: 鈥淎s last year鈥檚 budget showed, when the Chancellor saddles businesses with extra costs, this directly impacts the ability of companies to recruit and invest. The triple whammy of rising employer National Insurance contributions, increases to the national living wage and employee pension contributions have all impacted the ability of businesses to recruit and it is no surprise that the economy has continued to flat line.
鈥淭he Chancellor has a golden opportunity to use the budget to address and overcome barriers to growth by creating an environment in which businesses can prosper. This means bringing forward plans to reform business rates and recognising the vital role businesses play in shaping the local and regional economy, by creating an environment where every entrepreneur can realise their true potential.鈥
Carrie Sudbury, CEO of Barnsley & Rotherham Chamber, said: 鈥淚f the chancellor is truly committed to her mantra of 鈥榞rowth, growth, growth鈥 then she must recognise that the key to strengthening Britain鈥檚 economy is to take the concerns raised by businesses seriously.
鈥淢y hope for the budget is that the Chancellor looks to some of the successful and innovative schemes we have successfully delivered in South Yorkshire. In Barnsley, we worked closely with the local authority to deliver business rate relief on leisure, retail and hospitality businesses, providing a boost to the town centre, whilst in Rotherham, the council鈥檚 successful 鈥楤uy Local鈥 initiative has seen over 拢77m reinvested into the local economy by supporting local supply chains. Both of these schemes illustrate practical steps that could be taken in the Chancellor鈥檚 Budget to stimulate and drive business growth, without saddling businesses with further taxation.鈥
Dan Fell, CEO of Doncaster Chamber, said: 鈥淪uccessful places need successful businesses and vice versa. We now need central government to demonstrate that it understands this message. If the Chancellor hits businesses again in the upcoming budget, it won鈥檛 just be employers that suffer but communities too.
鈥淥ur members have expressed dismay and concern at the cumulative impact of National Insurance and minimum wage hikes, the Employee Rights Bill, and changing thresholds for union recognition.
鈥淢y sense is that the unwritten contract that exists between businesses and government is more fragile than at any time I can remember in my 20+ years at Doncaster Chamber.鈥
