NFDA: Cool Response to Chancellor’s Efforts    

Sue Robinson, NFDA Chief Executive, has issued a less than warm statement in response to Chancellor Rishi Sunak’s latest smoke and mirrors exercise where some taxes were cut and others raised, but the poor were definitely left getting poorer.  The NFDA’s view seems to be one of overall disappointment with the Chancellor and the opportunities he squandered.

Sue said: “In today’s Spring Statement, the Chancellor has taken a number of positive steps, however, the measures announced fall short of supporting businesses as they recover from the pandemic and face current challenges such as soaring costs.”

On Business Rates:  “Whilst it is positive that the Government recognised the need to extend the Business Rates Holiday, it is extremely disappointing that the claim rate has been reduced as this will exclude most dealer groups”.

On National Insurance: “As the cost of living increases for households across the UK, it is welcome news that the national insurance threshold will be raised. However, confirming the previously planned increase in National Insurance is unhelpful and will add further strain to people’s disposable income.

“Increasing the tax burden on businesses sends the wrong message at the wrong time. The rise in National Insurance is a massive blow to small and medium sized franchised dealer groups as they deal with a number of significant challenges including loss of earnings due to vehicle stock and supply issues, as well as staff shortages due to Brexit and Covid-19.”

On the cut in Fuel Duty: “The fuel duty cut is welcome news as it will contribute to offsetting the steeply rising costs facing households across the UK”.