Spring statement doesn’t address costs stack, small firms warn Chancellor

Print Solutions

Business perspective

Responding to the chancellor’s spring forecast statement, policy chair of the Federation of Small Businesses (FSB), Tina McKenzie, said: ‘Inaction from the chancellor is not enough for the UK’s 5.7 million small businesses and self-employed who are being squeezed by cost pressures and facing a new cost crunch about to hit in April. We are a month away from employment costs going up, business rates going up and energy bills going up. The chancellor missed the chance today to address the costs stack about to hit small firms.

‘The downgrading of the growth forecast for this year will be no surprise to small businesses, where cost burdens have already started reducing growth plans, cashflow and job creation in our local communities. 

‘Given the heightened global tensions of recent days, if there is another energy price crisis the government must stand ready to bring forward a package of help for small business energy consumers, akin to during the last huge price spike. 

‘As the April costs stack bites, the chancellor must give assurance that she will take decisive action to ease the taxes and costs imperilling small firms and the self-employed, and in turn imperilling the jobs, opportunities and local prosperity they could otherwise bring.’

Industry perspective

Phil McMullin, head of sales, commercial & industrial, Epson UK Ltd, said: 

‘The spring budget, as expected, did not introduce any new measures for the industrial sector; yet, positively, existing research and development and innovation incentives remain available, to support growth and investment.

‘While reforms such as business rates and trade rules continue to be delayed, the continuation of established support measures ensures that companies can plan and invest with confidence. The Circular Economy Growth Plan and its forthcoming roadmaps will further enhance these opportunities once implemented. In this environment, manufacturers are well positioned to focus on operational efficiency, resource management, and resilience within the existing supportive frameworks.  

‘Long term competitiveness will continue to be driven by consistent, commercially grounded decisions that strengthen supply chain control and resource efficiency. In textiles, digital production technologies are reshaping what competitive domestic manufacturing looks like. Epson’s Monna Lisa direct to fabric printer range combines pigment ink chemistry with energy efficient, water saving technology to reduce resource use compared with traditional analogue processes. It allows textile producers to print directly onto fabric in a single process, eliminating many of the resource intensive stages associated with traditional dye based printing. The result is a production model that supports on-demand, just in time manufacturing, enabling UK firms to minimise wasted stock and take control of their supply chains while simultaneously meeting their sustainability goals.’