The BMA has welcomed stimulus measures set out in Chancellor Rishi Sunak’s first budget. The trade body believes the large growth in spending will give consumers confidence and a lift for Bathroom Manufacturers after the temporary economic shock of coronavirus.
Along with a headline-grabbing £30billion package to help the economy cope with COVID-19 and a large stimulus package, the budget included specific measures which will help BMA members including an increase in R&D tax credits from twelve to fifteen percent.
BMA Chief Executive Tom Reynolds said: “There was a sense of optimism in our sector early in the year, which does seem to have taken a dent due to coronavirus. The Chancellor’s package of emergency measures will be helpful to SMEs to weather the storm.”
“The Chancellor was also right that the impact of the virus on the economy is temporary. The largescale investment announced in the budget statement, particularly on new housing and hospitals, will help to sector to recover some of its confidence”.
However, the association was not completely in praise of the budget. For a long time, the BMA has been calling for a VAT reduction on home improvements to encourage more bathroom upgrades, but this did not feature in the Chancellor’s fiscal programme. Reynolds said: “A reduction in VAT for home improvements would have improved affordability in the replacement market, driving water efficiency and reducing the number of void homes. So, the Chancellor missed an opportunity in that respect”.