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HTA calls for a delay on Autumn Budget measures

by | 19 Nov 24 | News

HTA calls for a delay on Autumn Budget measures

The Horticultural Trades Association (HTA) is urging parliament to delay the rollout of its Autumn Budget measures over fears of the backlash they could have on horticultural businesses.

In a letter addressed to the chancellor of the exchequer, Rt Hon Rachel Reeves MP, the HTA expresses its concerns for the repercussions in the rise of the National Living Wage, increases imposed on employers’ National Insurance contribution and the decision to change the rules on Agricultural and Business Property Relief.

All three of which have come with β€œinadequate warning and little consideration as to the impact they will have” says the HTA. It is calling for the government to pause rollout and allow time to review and consult with those likely to be impacted.

On-top of the challenges imposed by the border control posts – installed in April of this year – combined with poor weather conditions, the HTA is fearful how this additional obstacle will impact the environmental horticulture sector.

In her letter to the chancellor, HTA chief executive, Fran Barnes, voices her concerns over how the Budget’s measures will have a ripple effect on employment and investment.

The HTA found in its November survey that the majority of members will be looking to pass the rise in costs incurred through the supply chain. While over half said they still plan to freeze internal recruitment, which could see potential stagnation in the sector’s workforce, adding further strain to the skills shortage.

β€œOur members recognise the context of the Autumn Budget; however, the impact of huge cost hikes within such a short timescale when business budgets have already been set, and buying has been agreed for the next year will inevitably impact jobs and investment. Sector businesses themselves have had difficult operating conditions, which have mounted over recent years”, says Barnes.

She adds that through the planting and growing of trees and plants, the sector is β€œthe solution to so many economic, health and environmental challenges the government is facing.” Noting that these cumulative announcements will create β€œdestabilising uncertainty and ultimately hinder growth.”

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