Budget 2021: Stormont urged to follow Rishi Sunak lead with business rates cut

The Confederation of British Industry (CBI) in Northern Ireland, the Federation of Small Businesses in Northern Ireland, and groups such as Retail NI have all called for action from Stormont to follow up Mr Sunak’s budget.

Angela McGowan, CBI Northern Ireland director, said: “The chancellor has shown a genuine willingness to listen to business with measures that will get firms innovating and help the economy to grow. It takes several positive steps forward – through Levelling Up Fund investment to matching the Shared Prosperity Fund – but leaves more to be done to deliver the high-investment, high-productivity economy we need.”

She continued: “This budget alone won’t seize the moment and transform the Northern Ireland economy for a post-Brexit, post-Covid world. Businesses remain in a high-tax, low-productivity economy with concerns about inflation.

“Both the UK government and NI Executive have crucial roles to play in our economic recovery. The CBI wants to see a relentless focus on policy that will move us towards a long-term economic vision.

“By focusing on what we want to achieve in the decades ahead, both government and industry will be able to take the transformative steps needed to achieve economic success.”

The head of the FSB in Northern Ireland, Roger Pollen, expressed a similar view.

“We would encourage the Northern Ireland Executive to follow the chancellor’s lead,” he said.

“Some of the positive measures brought forward by the chancellor, such as a cut in business rates or support for childcare providers, do not apply to Northern Ireland, as these policy areas are devolved.

“A new lower rate of duty on internal UK flights is positive and will serve as a boost for connectivity between Northern Ireland and Great Britain.

“Plans to reform alcohol taxes and freeze fuel duty will be particularly welcome for certain sectors, while the extension of the higher limit on the Annual Investment allowance to April 2023 will hopefully incentivise business investment.

“Vital too is expanded funding for the British Business Bank, which will mean £70 million of investment for SMEs in Northern Ireland. This is much needed to create a more conducive environment for business start-up, with our business birth rate lagging behind our counterparts in Great Britain.”

Retail NI chief executive Glyn Roberts said: “Retail NI has long called for the rating system to provide incentives for business to grow.

“It is welcome that the chancellor has included this in his statement. Again, we call on this to be implemented locally.”