More Perspectives from Industry Leaders on Yesterday’s Budget
Posted by: electime 31st October 2024
Yesterday’s budget announcement has sparked a lot of discussion, especially from those in the electrical sector. This collection of quotes showcases the thoughts and reactions from various electrical organisations. From hopes for increased funding to concerns about future projects, these voices highlight what the budget means for the industry and its impact on innovation and infrastructure.
In response to today’s Budget announcement, ECA Chief Operating Officer Andrew Eldred said:
“ECA welcomes the Chancellor’s commitment to invest in industry, housing and electric transport. And her commitment to refocus levy funding away from Masters’ degrees towards trade apprenticeships, as announced earlier this year. These steps align with our call for a skills system that delivers on the practical needs of integrating green technologies for net-zero.
“However, this budget lacks crucial detail on how it will support skills access for smaller firms, which make up 99 per cent of the electrical contracting sector. These businesses will now also carry the higher burden of Employer National Insurance and higher apprentice costs.
“As outlined in our Charter to Recharge Electrical Skills, a system responsive to local and future demand is essential, as is industry’s role in shaping pathways and qualifications that lead directly to employability. Robust support for green skills is critical to preparing a workforce that can meet the demands of the net-zero transition, and we urge government collaboration with industry to close regional gaps and build a strong, skilled talent pipeline.”
David Hall, Vice President of Power Systems at Schneider Electric UK&I commented:
“Welcome news in today’s budget on incentives to drive the uptake of electric vehicle (EV) use in the UK.
EVs offer a viable path to a low-carbon future but we clearly need more incentives to encourage drivers to make the switch in the face of slowing sales.
Government has a key role to play here – offering encouragement to change, and ensuring the infrastructure is there to support widescale use.”
Matt Rooney, Head of Policy at the Institution of Mechanical Engineers, responded:
“In this Budget, Chancellor Rachel Reeves has recognised both the contribution of R&D to economic growth and the importance of long-term stable funding for UK science and innovation to flourish.
Going forward, the government’s focus should be on working with the engineering sector to deliver an Industrial Strategy that will boost productivity and support the development of a skilled workforce whilst delivering on our Net Zero commitments.”
Paul Holland, Managing Director for UK/ANZ Fleet at Corpay, including UK brand, Allstar, said:
“We were expecting that there would be little relief for UK businesses from the Autumn Statement, yet the fuel duty rates have been frozen for another year, extending the 5p cut for 12 more months. This is welcome news for all road users but in particular those companies with fleets of vehicles. Potentially, each could have incurred thousands of pounds in extra costs had the rumoured ending of the fuel duty freeze thawed. At a time when the economy is recovering, but not fully recovered, this is critical.
“We were particularly excited to see that the budget stated support of electric vehicle (EV) adoption. The chancellor stated they would maintain existing incentives for EVs in company car tax from 2028 and increase the differential between fully electric and other vehicles in Vehicle Exercise Duty from April 2025. However, the statement failed to provide clarity on what exactly this will mean for electric vehicle drivers fiscally.
“With the 2035 cut-off for the sale of new EVs looming, it is critical that the statement provides clear guidance on what the roadmap looks like for the future of electric vehicles on the UK’s roads, both for individual motorists and the large fleets we work with.
“We have seen in other countries, notably New Zealand and the Netherlands, that momentum is important in the transition to EV, so incentives to invest are now critical. Switching to EVs would save huge amounts of money in fuel and road tax for everyone on the UK’s roads, so it is vital that the government supports drivers and fleets in the transition.
“Transport and logistics are at the heart of the country’s economy and when the companies that either enable or drive logistics are battered by increasing prices and have to reduce their services, everyone suffers. Lets hope that this statement marks a change in tide for drivers, electric vehicle adoption and fleets.”
