Chancellor Rishi Sunak’s Spring Statement today is a move in the right direction – but the economy is likely to remain fragile for some time to come.
Senior mortgage and protection adviser Dan Harris welcomed the Chancellor’s decision to cut fuel duty by 5p/litre and increase the National Insurance threshold by £3,000, as well as the longer-term aim to cut the basic rate of income tax to 19p by 2024, which he said would put more money back in consumers’ pockets.
But Dan said that rising inflation, soaring energy costs and the war in Ukraine would all add to a period of continued uncertainty for households and businesses across the country and urged anyone concerned to seek professional advice.
“The Chancellor has little room for manoeuvre in the current climate and we welcome some of his measures to reduce the impact of this cost-of-living crisis.
“But despite this, things are likely to remain difficult for some time. We have seen three interest rate rises in recent months and although the rate remains at a historically low level, this is undoubtedly causing some anxiety among mortgage holders.
“Added to this there remains considerable pressure on food and energy bills, inflation forecasts remain high and the situation in Ukraine means that global markets are likely to be nervous for a long time yet.
“That means that both businesses and households are likely to face a financial squeeze and we would urge everyone to review their finances and seek advice and support where appropriate. This is a prudent step at any time, but particularly in the current climate.
“There are a huge number of ways in which companies such as Q can help, but it’s important we are consulted as early as possible if that help is to be most advantageous.”
Q – which has bases in Wellington and Shrewsbury – offers a full range of services including commercial finance support, mortgage and protection planning and financial planning across Shropshire and the West Midlands.
