Businesses and politicians in Oldham have expressed mixed reactions to the mini-budget, with one struggling bakery saying energy bills remain a major concern.
The Chancellor announced in the House of Commons on Friday that the basic rate of income tax would be cut to 19 per cent, while the threshold for stamp duty has been raised and a planned rise in corporation tax has been scrapped.
Along with this, the 1.25 per cent increase in National Insurance contributions has been reversed.
David Robinson, who works at family-run Robinsons Family Artisan Bakery in Failsworth, said he welcomed some of the announcements but still had some concerns.
He said: "I suppose the main help we're getting is the reduction in National Insurance rates, that's a big help."
Mr Robinson has previously shared his fear that his bakery, which has been run by his family for six generations, could be put out of business by rising energy bills which have gone from £18,000 a year to an estimated £72,000.
He said the mini-budget has not alleviated these worries and only "time will tell" how impactful this budget will be.
The co-owner added he did welcome the reduction in income tax and said the corporation tax rise being dismissed was helpful, although pointed out it only affected businesses making profits.
He added: "If you're a banker, you're happy."
Mr Robinson said outside his own business he had understood the wider hospitality sector was not happy, and this was echoed by Night Time Economy Adviser for Greater Manchester Sacha Lord.
In a series of tweets, he said he was "speechless" and questioned why VAT was not lowered and why business rate reliefs were not introduced.
He said: "These announcements will now mean last orders for thousands of Hospitality businesses meaning mass redundancies."
One Oldham business that praised the budget, however, was Alistair Stevens Estates in Royton, who said raising the threshold for stamp duty was "great news for the housing industry".
Stamp duty will be raised from £125,000 to £250,000, while the duty for first-time buyers will go from £300,000 to £425,000.
Chancellor Kwasi Kwarteng told the Commons tax cuts are “central to solving the riddle of growth” as he confirmed plans to axe the cap on bankers’ bonuses while adding restrictions to the welfare system
Treasury estimates put the measures, including Liz Truss’s promises to reverse the national insurance rise and axe the hike to corporation tax, as costing nearly £45 billion a year by 2026.
Oldham West and Royton MP Jim McMahon said the budget was "the latest in a series of failed plans for economic growth".
He added that the government was not "up to tackling the issues faced by people in Chadderton, Oldham and Royton" and said the only things increasing were inflation, interest rates and bankers' bonuses.
Leader of the borough's Liberal Democrats Howard Sykes also criticised the mini-budget and stated it simply rewarded the rich.
He said: "Oil bosses and London bankers will be popping the champagne while people in Oldham will be worrying about the cost of the weekly shop."
Cllr Sykes also condemned the stamp duty cut, saying it would only inflate house prices and make it more difficult for people to get on the property ladder.
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