Local MP Jonathan Djanogly has spoken of his concern at the huge impact that this week's increases in National Insurance are set to have on local businesses. Mr Djanogly spoke out after inviting a cross section of local businessmen and women to send him their views in advance of the Budget.
Commenting on the results, Mr Djanogly said:
"I expected the rise in National Insurance to have more impact that many people assumed. I did not however expect it to be on the scale my survey has revealed. As the economy is clearly in some trouble already, I am disturbed at the consequences this stealth tax will have in the months ahead. It is becoming all too clear that the Chancellor's decision last year to raise National Insurance for both Employers and Employees from this week, will result in local companies seeing their profits fall, the prices they charge rise and the number of people they recruit cut.
As well as the damage the National Insurance increase is set to inflict, local business is also clearly suffering from the ever growing burden of Red Tape and bureaucracy that this Government has so markedly failed to tackle. The results of my pre-Budget survey clearly show that the time 'wasted' by business men and women on dealing with Government regulation has increased for almost everyone since 1997. In light of this, it comes as little surprise that practically no one who replied to my survey believes the Government when it says that it is committed to reducing the burdens on business.
I have carried out surveys such as this before and whilst I would never claim the results are scientific they do send some very clear messages about the wish of many local businesses to be left alone to get on with the task of creating profits and jobs.
I will be making sure the Chancellor is aware of just how much damage his policies are doing to local businesses during the course of the debate on his Budget."