A survey from the Association of Chartered Certified Accountants (ACCA) has revealed that eight in ten UK finance professionals believe the latest Budget will “negatively impact” the UK’s economic growth.  

The survey, which gathered responses from those working with or within small and medium enterprises (SMEs), highlights widespread concern about the overall impact of the UK Budget on business growth. 

The findings suggest growing unease regarding the complexity of the tax system following proposed fiscal measures.  

According to the ACCA, 80% of surveyed businesses believe the measures set out in the Budget will have a “negative” or “very negative” influence on economic performance.  

In terms of future investment, nearly 64% said they are “less likely to invest” during the coming year because of the announced policies. 

Recruitment intentions have also shifted.  

The poll found that 66% of businesses are now less likely to recruit new employees, citing both recent increases in the national minimum wage and ongoing freezes on tax thresholds.  

The ACCA has called for a structured and long-term approach to economic policy, urging the government to focus on boosting private sector spending and ensuring stability for sustainable development.  

The organisation emphasised that policy stability is needed for sustainable economic growth and called for an end to what it describes as “ad-hoc policy shifts”. 

ACCA strategic engagement lead for England Gemma Gathercole said: “This Budget should have been the opportunity to create a clear message for the country, one that prioritised stability and certainty in how to get the economy moving again. Instead, we have seen more tax complexity through the continued use of ‘tweaks’, rising wage costs and greater regulatory burdens – leaving many businesses considering redundancies, downsizing or moving operations overseas.” 

Gathercole added: “The combination of increased minimum wage rates, frozen tax thresholds, dividend tax hikes and new NIC [National Insurance Contributions] charges is destroying incentives to work, train or invest. The government needs to deliver long-term plans with confidence, rather than relying on short termism thinking that results in economic stagnation and reduces trust in the business community.” 

Last month, the ACCA formed a partnership with the UK Parliamentary Knowledge Foundation aimed at improving awareness of public and private sector operations among Members of Parliament.