Private enterprises looking for a stable policy environment

When we look at leaders’ own priorities for the Autumn Budget, we see further evidence of this. Measures to support technology adoption and digital capability were most widely cited (41%). Close behind was the citation of growth-focused investment and the Government’s Industrial Strategy (39%). This is quite a high percentage for an initiative that focuses principally on eight growth driving sectors, possibly indicating that mid-market businesses recognise its potential for unlocking wider growth and activating demand beyond individual industry siloes.

Other factors high on the Budget wishlist were measures that support business profitability and competitiveness (34%) followed by skills, workforce and productivity (32%). The former reflects a view from private enterprise that levels of tax should be fair and that businesses should not be hampered by excessive red tape; the latter demonstrates that leaders realise they can’t rely on technology alone: people drive productivity and delivery, and therefore it is critical to create an environment where they can thrive through upskilling and training.

Exports, trade and international competitiveness was next on the list of priorities, although somewhat further back at 20%. However, this featured more highly when asked about longer-term factors, with 36% flagging UK competitiveness in global markets as a key issue. In recent months, the UK has made progress on establishing international trade agreements and talks to reset trading relations with the EU are set to continue. Ensuring leaders know how these deals and trading arrangements can support them, and signposting how they can access them, is now key to boosting the UK’s exporting profile.

Another key item on the regulatory front is the Employment Rights Act which entered into law in December last year. Important aspects of the Act are subject to consultation as part of a phased implementation approach. How this plays out will have a material impact on businesses of all shapes and sizes, with changes in areas including unfair dismissal, sick pay, bereavement leave and zero or low hours contracts. The new administration’s handling of this will be an important feature of its relationship with business.