Philip Hammond will deliver the his first Autumn Budget on 22 November. On the day ICAEW will be bringing you initial reactions from its CEO, Michael Izza, as well as its technical experts on the implications for businesses, tax and the economy overall. Ahead of the chancellor's speech, ICAEW and the Institute of Fiscal Studies are hosting an event discussing the potential announcments.
On 30 October, the Institute for Fiscal Studies (IFS) will present its latest assessment of the UK’s current fiscal position at a free breakfast event hosted by ICAEW.
Introduced by ICAEW Chief Executive Michael Izza, IFS Director Paul Johnson will chair the event, which will provide analysis of the government’s stated fiscal targets, and the constraints within which chancellor Philip Hammond is operating. The analysis will cover:
When: 08:30-10:30, 30 October
Where: ICAEW, Chartered Accountants' Hall, Moorgate Place, London EC2R 6EA
On 26 September ICAEW published its third Business Confidence Monitor (BCM) report of 2017. The research found that more than a quarter of UK businesses think their cash reserves will grow next year as they put off investment decisions as a result of Brexit uncertainty. Nearly two thirds of those surveyed have a cash surplus this year, while 64% believe they will have a cash surplus next year too.
The survey resulted reflected the continuing fall in business investment that UK plc has seen over the past few years. The single factor which would have the most impact in encouraging businesses to use surplus cash was more clarity on Brexit outcomes. However Government can also foster the right conditions that would encourage companies to invest by offering tax incentives and reliefs as well as relaxing planning policies.
Michael Izza, ICAEW Chief Executive, said: “Businesses are in no rush to make major capital investments at the moment and this is reflected in the amount of cash they are hoarding. But businesses should be investing now for the future and not for austerity. Without this investment, growth will continue to slow, especially as we can no longer rely on consumers to keep spending at the rate they were."