Philip Hammond hasn’t been in the job long, but already he is calling for reforms in the way the statement is run. In what promises to be the last autumnal announcement for some time, the chancellor has had his say on the country’s fiscal prospects. Despite Brexit, positivity amongst Buckinghamshire businesses is still high, with nine in ten suggesting they are not planning on revising their financial outlook. But will Hammond’s latest admissions affect this sunny disposition?
At first glance, the Milton Keynes business sector has a lot to be happy about. Growth in the UK is expected to steadily increase over the next five years, peaking at 2% in 2021. With new companies springing up in the city every year, the chance for startups to make a name for themselves seems to be backed by eventual economic stability.
However, this figure has already been reduced by the aftershock of Brexit, knocking 2.4% off our potential overall growth. In fact, in 2017, growth will slow to as little as 1.4%, due in no small part to lower investment and weaker consumer demand. Put simply, this means there will be fewer opportunities for small businesses to break into the market in the coming years and secure a foothold in the Milton Keynes area.
In fairness to the government, this issue has clearly been addressed in their discussions. Plans to boost venture capital funds by £400 million could see up to £1 billion in new finance unlocked for startups. The chancellor has announced this scheme in an attempt to prevent new businesses being overshadowed by larger firms. Working with a Milton Keynes accountant could help you draw even more value from this investment.
While the statement certainly does read like a chapter from Revelations, it does imply that the country will need to do more to maximise the potential of its capital. Even if you take Brexit out of the equation, companies in Milton Keynes still need to be aware of the danger of overspending, especially in their first full year of business.
A Milton Keynes accountant can help you make wiser investment and budgeting decisions. Since it is our job to provide practical forecasts in both fair and turbulent weather, we have become experts in knowing when to spend and when to settle. It’s not easy to balance the books yourself at the best of times. But, when you’re preoccupied with getting your business off the ground, it can become even more frustrating.
With Mr Hammond’s statement changing the way businesses must look at their financial future, a Milton Keynes accountant can be the bedrock you build your enterprise upon. Though the initial outlook suggests a sustained period of growth is just around the corner, it would be long-sighted not to prepare for the years in between.
Savvy investments and careful calculations will enable you to use government funding to create a viable and successful business opportunity. When it comes to longevity, it’s always important that the groundwork is laid without any hitches or flaws. Now that the government has offered its own projections on the UK’s financial future, let a Milton Keynes accountant do the same for your specific vision and ambition.