Nearly half of SMEs dreading Autumn Budget
Nearly half of small businesses are anxious or actively dreading the Autumn Budget, according new research.
A survey of 500 small business owners carried out by digital broker money.co.uk found that 45% were dreading the budget, with 65% saying they fear a tax rise i could force their business to close within the next 12 months.
Asked what action their business would most likely take if the Chancellor raises business taxes, the most common response was raising prices for customers (57%), followed by pausing growth or expansion plans (39%), freezing hiring (29%), reducing staff numbers (25%), and cutting employee benefits or bonuses (21%).
Meanwhile, 60% said they have experienced stress as a direct result of Budget speculation, and 23% have lost sleep over it. Strikingly, 77% said Budget uncertainty has caused them to delay a personal financial decision at some point,
Tom Luth, CEO of money.co.uk said: “This is bigger than business; it’s people’s lives on hold. Budget anxiety isn’t confined to the workplace for small business owners – it’s keeping people up at night and delaying real, personal decisions like buying a home or starting a family.
“Nearly two thirds are worried that a tax rise this Budget could put them out of business, and that’s a significant level of concern for the Chancellor to be aware of.
“It’s clear from the survey that if taxes rise, business owners expect to have to respond to keep their heads above water, through raising prices, pausing growth, and not taking on new staff – which will have knock-on consequences for the wider economy, not just the businesses themselves.”
“For the third of UK businesses open to exploring a business loan, money.co.uk can help them access finance and compare rates to get the best possible deals. Our eligibility checker lets business owners research their options and check whether they are eligible for a loan in just minutes, without affecting their credit score.”
