2024 Spring Budget: IMI response

“A budget for an election – but not for a greener environment” Steve Nash, CEO of The Institute of the Motor Industry comments on the Spring Budget

“Despite talking about encouraging investment in future technologies, today’s Spring Budget seemed to miss the opportunity to make some small changes that would support the widest automotive sector as it faces a continuing skills gap while trying to future-proof itself. There was also nothing done to encourage more people to move to lower and zero emissions vehicles.

“For the UK to achieve its green ambitions every part of the automotive sector must be supported and that includes the aftermarket.

“Whilst the addition of leased assets in the Full Expensing 100% first year capital allowance may provide some businesses with help, it’s disappointing that the Super Deduction was not reintroduced. This would have provided the wider aftermarket with essential help to ensure it is adequately equipped and trained to support EV drivers.

“It was however encouraging to hear that the Chancellor intends to maintain the Back to Work plan and improve the Childcare offer to give more people who may have felt they couldn’t get back to work, back into the workplace. The IMI is working with automotive employers to ensure they can attract the most diverse workforce through our Diversity Task Force and the ‘There’s More to Motor’ campaign and we hope the government’s actions, including its intention for the National Insurance cut to encourage more people into the workforce, will help.”

“Cynics might say it was a budget for an election – sadly it seemed to miss the significance of how important the automotive sector is to the UK’s economic and social infrastructure as a whole.”