Chancellor Rachel Reeves has set out her plans for the UK economy during her Spring Statement in the House of Commons.
It came as the Office for Budget Responsibility (OBR) - which monitors the government's spending plans - unveiled its latest economic forecasts.
The Horticultural Trades Association (HTA) Director of Public Affairs, Jennifer Pheasey, said: “The Chancellor’s Spring Statement offers little relief for horticulture businesses and has failed to put a spring in the step of our members across the sector. Facing fragile consumer confidence and rising costs on all fronts, from inheritance tax to border chaos to plant health fees, this is not an agenda for growth for the environmental horticulture sector.
“Confidence and certainty are key, but with imminent new costs this April, such as National Insurance Contributions, confidence to invest remains elusive. Whilst we welcome measures to drive housebuilding and unlock planning, green spaces and gardens must be part of this, and we know these ambitions will not be immediately realised.
“We urge the government to prioritise decisive action to alleviate the cost burdens in the sector and commit to fair policies, so that our members can continue to contribute to the UK's environmental sustainability and overall economic wellbeing.”
Viki Bell, Director of Operations at the Construction Equipment Association (CEA), added: “Labour’s ambition to fix the planning system and unlock housebuilding is positive in principle – and the OBR’s suggestion that reforms could take us to a forty-year high in delivery is encouraging. However, much of what was discussed today has already been announced, and there was very little new information for the construction equipment sector.
“The commitment to build 1.3 million homes and bring the target within ‘touching distance’ of 1.5 million is ambitious, and we continue to monitor this pledge. The £600 million to train 60,000 construction workers and set up ten technical excellence colleges is a step in the right direction, and we will work to ensure this is delivered and aligned with industry needs.
“Our members need practical support – clear timelines, a stable pipeline of work, and a commitment to UK manufacturing. Construction Equipment is key to these deliverables, as is the battle against equipment theft, which is a clear strategic threat to these ambitious growth plans.
“The good news was no further tax rises – but the sting for businesses came earlier this year, with increased national insurance. The real test will be the autumn budget.”
The National Sector Partners Group (NSPG) has issued the following statement: “The implications of this statement will be felt across the majority of government departments, with reduced budgets an expected reality of the Comprehensive Spending Review (CSR), due to be announced in June.
“The outcome of the CSR will be pivotal for sport, recreation and physical activity in the UK, serving as an indication of how the sector’s impact and potential is valued by the Government and how this translates into support across the rest of this parliament.
“As industry leaders, we are united in our belief that increasing participation in sport, recreation and physical activity is a solution to many of the issues in the Government’s in-tray, from driving economic growth and employment, to strengthening the connectivity within our communities, taking pressure off the NHS, and supporting the health and happiness of children and young people. The growth and development of this sector is inextricably linked to improving the health and wellbeing of the nation, and in doing so making Britain stronger both economically and socially.
“However, from 1 April many parts of the sector will be impacted by the decisions on national insurance contributions (NICs) and business rates that will suppress the sector’s growth by increasing the likelihood of redundancies and recruitment freezes, and the contraction of essential programmes and services in communities.
“The Government should not compound this further by producing a CSR that weakens our sector through both reduced investment and focus, but should instead protect key funding and investment into sport, recreation and physical activity.'. The Chancellor’s statement in June provides an opportunity to acknowledge this sector as integral to the Government’s plans for national renewal, with the awareness that a weakened sport, recreation and physical activity sector will lead to a weakened Britain.”
