Budget 2012: EEF calls for rebalancing of UK economy

The government should use today’s Budget to step up its growth ambitions, according to manufacturers’ organisation EEF.

George Osborne
George Osborne

Terry Scuoler, chief executive of the group, notes that the government already has a plan to reduce the country’s deficit and calls on chancellor George Osborne to unveils new measures to rebalance the economy.

“The chancellor must use his Budget statement to send out a clear signal to business that now is the time to be increasing investment and that Britain is the place to do it,” Scuoler says.

Among the measures suggested by the EEF are a two-year temporary increase in capital allowances and a reduction in the employer national insurance contribution rate for new workers under 25. (article continues below)

The group also says the government should ensure its National Loan Guarantee Scheme, which is designed provide up to £20 billion to small companies, is widely available and genuinely accessible to businesses.