All eyes on Rishi Sunak as he delivers critical Budget

WHEN Chancellor Rishi Sunak rises to the dispatch box to deliver the Budget this afternoon it is likely more people across the West than ever before will be tuning in.

Nearly five million people who would normally be at work on a Wednesday lunchtime remain on furlough and millions more now working at home will want to know what the Chancellor, pictured inset, has in store for them.

Some budgets involve relatively minor tinkering with duty rates – but Mr Sunak will be delivering the most critical Budget in generations.

The coronavirus pandemic has put an estimated £400 billion dent in the United Kingdom’s public finances and Mr Sunak faces the thorny challenge of needing to repair the balance sheet while still providing sufficient support for those who desperately need it.

Among those who will be watching most keenly are the West’s army of freelancers, particularly in the creative sectors. A second consecutive summer of no major events such as the Glastonbury Festival has had a devastating impact on the income of people like freelance sound engineers, stage managers and performers across the creative economy.

Bectu, the UK’s media and entertainment union, represents more than 30,000 people in creative industries such as broadcasting, cinema, music and theatre.

Given the West’s previously strong cultural economy many of them are in this region in cities like Bristol, Bath and Wells, and towns such as Stroud, Frome and Glastonbury.

Head of Bectu, Philippa Childs, said: “The Chancellor must use the Budget to extend the furlough scheme and to finally end the disgraceful exclusion of so many freelancers. As it stands, the schemes are due to end before theatres, venues and cinemas will be able to reopen, potentially leaving thousands of workers in the lurch.

“The arts won’t reopen overnight, and it would be ridiculous to switch off the critical life support just as there is finally light at the end of the tunnel for thousands in the industry.”

Meanwhile, Dr Rita Griffiths, at the Institute for Policy Research at the University of Bath, said it is vital that the Chancellor helps families in need.

She said: “It’s likely that Rishi Sunak will announce a six-month extension to the £20-a-week uplift to Universal Credit. While any extension is to be welcomed, our research, together with that of a growing number of academics, campaigners and charities, clearly indicates that there is a strong case for going further.

“If the social security system is to provide a safety net for some of the poorest and lowest-paid workers in this country, then the uplift needs to be made permanent.”

An area of the West economy that could benefit from new policies announced by Mr Sunak might be the region’s green economy.

Tracey Wright and Erika Jupe, partners at Bristol-based law firm Osborne Clarke, said it would be no surprise if the Chancellor announced new or improved tax reliefs for R&D or otherwise in relation to technologies which promote the government’s green agenda.

They added: “We can also expect the Finance Bill to include legislation to introduce the new plastic packaging tax.”