Giving immediate reaction to the Chancellor’s Spring Statement, Michael Izza, ICAEW Chief Executive, said:
As to be expected after last night’s vote, the Chancellor’s statement provided little sunshine to cut through the Brexit fog.
If there is a managed deal, we can expect a significant Brexit dividend with businesses investing, consumers more confident and an uptick in the market. However, much damage has already been done as a result of the ongoing uncertainty. Businesses have taken decisions to relocate assets and cancel planned investments, which are unlikely to reversed even if a deal is reached.
More positively, the improvement in the public finances means that Phillip Hammond has left himself the opportunity to open the chequebook in the Budget, if and when we have more clarity on Brexit.