Welsh businesses are nervously awaiting the latest budget announcement this Wednesday. Lloyd Powell, Head of ACCA Cymru/Wales, said:
“As the Budget announcement approaches, ACCA calls for urgent action from the UK government to prioritise improving HMRC service standards, creating a supportive environment for businesses to grow, and incentivising investment. The upcoming Budget must provide a comprehensive roadmap for SMEs, covering long-term investment in sustainable technologies, skills training, and digital innovation.
“A lack of focus on investing in public services, in particular tax bodies, has resulted in a lack of trust between HMRC and taxpayers. The government must provide detailed improvement plans for HMRC service standards to demonstrate its commitment to the growth of businesses and professional agents acting on their behalf, achieving this by working closely with professional bodies such as ACCA, to gain in-depth insight into areas for improvement.
“Audit reform is also of utmost importance to rebuild trust in the accountancy profession and enhance the quality of financial reporting. The government should prioritise the swift implementation of audit reforms, particularly in the areas of corporate governance, auditor accountability, and competition.
“A strong economy depends on the government’s ability to support businesses, particularly during these challenging times. Confidence in the government is quite low during the current economic crisis, and businesses are particularly stretched for resources. Several changes, such as those announced to Corporation Tax and the freezing of certain allowances such as the Dividend Allowance (DA), have added more complexity for businesses and unnecessarily broadened the tax basis.
“Now more than ever, it is vital for businesses to have the clarity and direction they need to kick-start the economy and keep the UK in a competitive position on the global business stage. The government must act swiftly and decisively to prioritise these critical areas to ensure the long-term success of the UK economy.”