The Budget was targeted at “makers, doers and savers”. Aspirations of being a Producer City makes Bradford a possible beneficiary of such a move.

To stress-test the pre-election measures, let’s see where wealth and job creation is going to come from, and assess the effect on productivity and margins.

  • Investment allowance doubling to £500,000 gives confidence if companies can get hold of funds. A ‘big if’, but jobs and wealth creation could flow from this.
  • Export finance is a real barrier and moves to level the global playing field is a step in the right direction. Access to international markets remains a goal too far for many but those ambitious enough to seek out business support will find help at hand; but those brave enough may find that improvement in margin may be some way down the line.
  • Extending the Apprenticeship Grant for Employers supports companies recruiting 16 to 24-year-olds providing they find people with the right skills and attitude – not as easy as it sounds. Our business (construction consultancy) has found that investment return on apprentices is very quick providing the right match is made.

It seems that this could actually be a Budget for jobs and growth, but questions remain about productivity, pay rises and margins.

The dismal productivity gap in the UK, and pressure to give above-inflation pay rises, will further delay a return to decent margins that elude many business and so squeeze UK competitiveness and productivity for years to come