Spring statement reaction

Todd Davison, managing director at Purbeck Insurance Services, said: “Small business owners need predictability. The spring statement may be exactly what entrepreneurs are hoping for.

“Stability gives business owners the confidence to plan, invest and hire without constantly recalculating for unexpected tax changes or policy changes.

“For many SMEs, the past few years have been defined by volatility – rising interest rates, inflationary pressures, supply chain disruption and tighter lending conditions.

“In that context, the absence of new measures is positive. It allows a period of consolidation rather than further upheaval.

“Small businesses operate on tight margins and closely managed cashflow.

“As we have seen, unexpected changes to taxation, employment costs or borrowing conditions can have a big impact.

“A steady fiscal approach allows directors to focus on running and growing their businesses, rather than firefighting regulatory surprises.

“It also helps lenders. When policy direction is clear and consistent, funding decisions become more straightforward, which supports access to finance for SMEs.

“That stability matters particularly at a time when many business owners are already taking on personal guarantees to secure funding.

“Of course, businesses would always welcome targeted support and measures that stimulate growth. But for many entrepreneurs, certainty is just as valuable as stimulus.

“Sometimes, no major shocks is the best outcome.

“It could provide the breathing space small businesses need to rebuild confidence, strengthen balance sheets and plan for the long term.”