Budget 2021 Response – part 5

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The licensing consultant

Fears rise for a supply chain that continues to be ignored

DEBBIE BOLLARD LICENSING CONSULTANT HOUGH & BOLLARD LTD

Like many, industry consultant Debbie Bollard is disappointed at the lack of support for the supply chain. But she finds heart in the super reduction initiative which could kick-start the product sales and manufacturing sector for the next few years.

 

Debbie Bollard Licensing Consultant Hough and Bollard
Debbie Bollard Licensing Consultant, Hough and Bollard

I was shocked at the future hike on corporation tax; pleased to note the lower rate for small businesses although a cut would have been better.

I was pleased to see that COVID measures will be carried through to the summer so that businesses like arcades continue to receive support although it’s unfortunate that the Government wouldn’t extend don’t the 5percent VAT to their operations.

I am obviously disappointed that the supply chain has once again been ignored.

Businesses without Government support are now left hoping they can get discretionary grants from their local Councils.

Some like Lincolnshire County Council have been working with Lincolnshire Federation of Small Businesses and has put funds in place for those that have missed out.

Let’s hope that the 130 percent super deduction on taxable income will encourage businesses to start investing in stock etc.

 

The machines distributor

Still no help for the supply chain

MARK HORWOOD MANAGING DIRECTOR UDC

Mark Horwood Managing Director UDC
Mark Horwood Managing Director, UDC

It’s a bit early and we need to dig deeper in order to understand the detail, however, the budget is bitter sweet for the industry.

Clearly, there is support for businesses rates holiday, furlough and the super deduction.

And if arcades are included in the super deduction, where customers can claim back £1.30 for ever £1 spent when purchasing equipment, then this is certainly a positive.

But what remains disappointing is the fact that there is no help for the supply chain.

 

The amusements specialist

A budget that still requires blood, sweat and tear the industry

JAMES ANDERSON COMMERCIAL & SALES DIRECTOR BANDAI NAMCO AMUSEMENT

James Anderson Bandai Namco Amusements Europe
James Anderson Commercial and Sales Director, Bandai Namco Amusements Europe

I can’t claim to have an original perspective on this as I expect this view will be widely reciprocated throughout the industry.

There were no overly exciting revelations yesterday and it seems we shall see out this pandemic as we saw it in – through blood, sweat, tears and a microscopic hankie from the government.

To highlight the positives, we have an extension of the furlough scheme (CJRS). We also have access to loans, which is more of an apple in the Garden of Eden sort of deal. I’ll leave the casting of the snake to the reader’s imagination.

It’s not a real solution, as we all know; it simply pushes back the problem whilst also enlarging it, but sadly some businesses will not have a choice in the matter.

Leading on to brighter news, grants for operators of up to 18k for opening locations will be majorly beneficial. Additionally, the “super-deduction” of tax should give operators an encouraging hand into stimulating their investments up through the supply chain, but it would be interested to see how much this affects their decisions.

Due to the clear focus of the limited aid, we would hope operators feel some responsibility in making sure the effects are shared up the chain. Hopefully, this responsibility is recognised in terms of product investments, and in turn smart in demand product choices will be rewarded with a healthy supply of consumer spend.

Regardless of what the chancellor had on offer for us yesterday, BNAE are focussed on supporting the market in May by means of pure team diligence and the short lead times of our suppliers Raw Thrills and Adrenaline Amusements, with Andamiro working on reducing theirs too.

 

The small business voice

The main concern is for those reopening ‘later down the road’

MIKE CHERRY NATIONAL CHAIRMAN FEDERATION OF SMALL BUSINESSES

I think our major concerns would be with those member businesses that are later down the road to re opening.

 

These businesses have exhausted all of their reserves and cannot afford to borrow any more money. We will be lobbying for more support to those businesses to get them open.

We welcome the furlough extension and the reduced VAT but this doesn’t help the closed businesses.

I am sure we will take the positive energy from the budget and the road map but we want all leisure businesses to be able to take advantage of what could be a great Summer.

 

The publican and the campaigner

A freeze is not a cut

JODIE KIDD PUBLICAN THE HALF MOON PUB, KIRDFORD

A freeze in beer duty is a welcome relief to pubs like mine and clearly better than the planned increase.

 

Jodie Kidd Publican The Half Moon Pub Kirdford
Jodie Kidd Publican, The Half Moon Pub Kirdford

This is the third consecutive freeze in Beer Duty since our campaign began so I would like to thank everyone who supported the campaign – our collective voice is making a difference.

However, The Chancellor has only partially listened to the 500,000 campaign supporters who signed the petition calling for a cut in beer duty. Our Government must recognise the vital role that local pubs and brewers can play in the much needed social, cultural and economic recovery this country needs. I urge them at the earliest opportunity to address the unfairly high rate of beer duty in the UK which is 11 times higher than other countries such as Germany and Spain.

David Cunningham Programme Director Long Live The Local

“The night-time economy has been left in limbo once again. While hope is now in sight, nightclub venues will have been closed for 15 months. There is a real risk of losing these businesses forever if the Government doesn’t step in to make sure they survive. The loss of our nightclubs would be a huge cultural blow as well as a significant economic one.”

 

The children’s ride expert

The industry needs an early return

PAOLO SIDOLI MANAGING DIRECTOR SB MACHINES

 

On balance, the news is excellent. Leisure, catering, hospitality and amusements have suffered disproportionately but a continuation of these support packages is really good news.

 

Paolo Sidoli Managing Director SB Machines
Paolo Sidoli Managing Director, SB Machines

Extending 5 percent VAT for hospitality to September and tapered after that; continuing furlough; rates relief until June; re-opening grant – these are all really helpful.

I ‘m really pleased about the minimum wage increasing to £8.91. Staff are critical to the success of any business and this is welcome news.

We are looking forward to a buoyant summer and beyond in the UK and these support packages will certainly help our industry.

Brexit disruption will weigh heavily on the economy, but the well documented staycation phenomenon will benefit seaside resorts in a spectacular way.

Even though we (distributors and exhibition companies) in the supply chain sector will be the last to recover, this is the launch pad we needed for a full reopening. It’s brilliant news, in my opinion.

 


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