politician urged to step aside before Autumn Budget announcement

The upcoming Autumn Budget, to be delivered by Chancellor Rachel Reeves, is expected to be a significant event for the UK's private business sector. A survey by KPMG of 1,500 private business leaders suggests they want the Chancellor to focus on promoting higher wages and lower costs for companies.

The survey highlights a desire among business owners to create new products and move into new markets as a means to achieve growth. However, several challenges and concerns were also identified.

In terms of age demographics, the respondents were most prevalent in the 25 to 34 age bracket (49%), followed by the 35 to 44 age bracket (26%), and the 45 to 54 age bracket (12%). Interestingly, 3% of the respondents were in the age ranges 18 to 24 and 65+, while 7% were between 55 and 64.

When it comes to the size of the businesses, 12% had a turnover of between £11m and £50m, 14% had a revenue of between £101m to £500m, and 17% had a turnover between £51m and £100m. The majority (74%) of the business leaders are in charge of privately owned companies not owned by themselves or their family.

The survey also reveals that inflation is a significant concern for 45% of the business leaders, with cost pressures and inflation once again named as the top concerns in terms of barriers towards growth. Moreover, 42% of the respondents said the availability and cost of capital would influence their planning for growth, and 44% want the Chancellor to prioritize the adoption of new technology.

The UK's foreign income and gains rules were flagged by 24% of the business leaders, and UK capital gains tax was cited by 30% as a long-term factor influencing their planning for growth. Retirement and succession planning was chosen by 25% of the respondents as a long-term factor influencing their planning for growth.

The private business leaders criticize higher taxes, such as the increases to employers' National Insurance contributions and the National Minimum Wage, as a "hindrance, not a help". They also want more support for small businesses and a focus on the adoption of new technology in the Autumn Budget.

Interestingly, the directors surveyed want a reversal of the National Insurance hike introduced in April and a reduction in VAT. The survey also calls for a reduction of "unnecessary regulations" and for the government to stop interfering with companies.

The entrepreneurs' group, the Wirtschaftsvertreter, expressed massive criticism of the government's National Contribution Rate and the income tax measures from the previous Autumn Budget, considering them as obstacles to business development.

According to data released by the CBI in June, last year's Autumn Budget is still causing negativity among UK businesses. Furthermore, 32% of the business leaders mentioned further tax rises in the Autumn Budget as a potential negative impact, while 31% said rising employment costs were a potential negative impact.

The results of the survey show that the UK is seen as a stable environment for business, with 93.2% of the same businesses surveyed by KPMG in the half-year Private Business Barometer being confident of their firm's growth prospects in the next 12 months, with 62.1% very confident.

In conclusion, the private business sector in the UK is seeking a focus on growth, lower costs, and the adoption of new technology in the upcoming Autumn Budget. The survey results underscore the need for the government to address inflation, cost pressures, and the availability and cost of capital to help businesses navigate these challenging times.