Sean Keyes CEO of Sutcliffe has commented on the Chancellor’s Spring Statement.
“If Rachel Reeves’ announced public spending cuts hit planned infrastructure projects, then this is bad news for the construction industry. We need continued investment, not cuts, to fix housing shortages and boost the economy. What’s needed now is stability and clarity to help us chart a clear path forward as uncertainty deters developers from taking even the slightest risk and expanding their project portfolios, reducing the future housing stock. For that reason, I welcome Rachel Reeves’ announcement of an additional £2bn for social housing, aimed at softening the blow of today’s spending cuts, as well as the additional £20m housing package announced by Housing and Planning Minister, Matthew Pennycock. This funding is set to deliver 18,000 social homes, contributing to Labour’s broader ambition of building 1.5 million homes by the end of the parliamentary term. While there’s no doubt that this move is a vital step towards addressing urgent housing needs, I remain skeptical about whether these targets can truly be met. That said, the idea that prosperity can be achieved through higher taxation in the future is fundamentally flawed. An escalating tax burden will stifle innovation and ultimately impede economic growth. The national insurance increases are a tax on employing people which will be felt by all businesses and will discourage growth by taking money out of their cash reserves. Addressing this issue is crucial to protecting the country’s business landscape—something I believe this statement merely touches on without truly confronting.”
