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What does the autumn 2015 five-year spending review hold for UK SMEs? We offer some predictions.
The most obvious area to begin when making predictions is the hunt for £20 billion of cuts in public spending by 2015. Business support and local government are both areas of focus, with likely ramifications for small to medium sized businesses.
The need for additional funding for the NHS and counter-terrorism – combined with lower than expected tax incomes – will likely make cuts elsewhere more severe.
On the positive side, help with dealing with the minimum wage has been hinted for the care sector. And businesses outside of London may be cheered by greater devolution, especially for the co-called Northern Powerhouse.
The outcome of a business rates review from earlier in the year has yet to be revealed so an update – for better or for worse – is certainly possible.
The Federation for Small Businesses (FSB) has called for help to cope with adjustment for National Living Wage, automatic enrolment into pensions and changes to tax on dividends.
Still, most predict a conservative update.
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