Budget 2021: Inc Retail Statement

Chancellor Rishi Sunak today announced the 2021 Spring Budget. With England set to lift restrictions by 21 June, the Budget has been viewed as a catalyst to jump-starting the economy. Most retail & hospitality has been closed on and off for almost a year, with many struggling to make ends meet. Dan Shaw, Inc Retail MD, shares his views on Rishi’s announcement. 

“We’re pleased to see the Chancellor’s announcement of extending the 5% VAT cut through to September. Even though I would like to see this expanding to cover the whole of 2021, this cut will support Chop’d, our high street eatery, when we begin to open stores throughout April.

With the news of corporate tax hikes, it’s refreshing to see that our brands such as Chop’d, KNOMO & Laundrapp will benefit significantly from a “super-deduction” that will allow our companies to offset 130% of the value of any investment against tax for two years. This change will enable us to invest in our brands and further develop our offering.“

The Chancellor also announced a change in contactless limits, which was also welcomed.

“Our customers are eager to return to our stores up and down the country, and I know they will be encouraged by the increase in the contactless limit to £100. With contactless being quicker and safer than cash at the moment, I welcome this news by the Chancellor.”

The new restart grant of up to £6,000 per premises in April and up to £18,000 for firms that open up later.

“We’ve been ready to open our stores for a long time, but we need to do this safely and also be able to do this with confidence. I know the £6,000 grants per premises from April will help us kickstart our stores into opening and I’m looking forward to seeing how we can utilise these new grants in each premises.”