An appeal for the Isle of Wight Council to support small businesses and seek help from Westminster passed without opposition at County Hall earlier this week (Wednesday).
Councillor Matthew Price’s motion, which stated it is now ‘crucial’ the council asks the government to support the Island’s businesses and retail sector in particular, was approved by Full Council with only 3 abstentions.
His proposition also called for a review of ‘current impositions’ on Isle of Wight enterprise to look into where ‘pressure can be lifted’.
This would ‘encourage growth’ and increase the Island’s attractiveness as a place to start a business.
Specific policies put forward were parking concessions, described as ‘proven’ in bringing customers back to retail areas in cities, towns and villages, and ‘unsecured government backed loans’. The representative for Fairlee and Whippingham’s submission was met with sympathy across the council political spectrum.
Chancellor Rachel Reeves’s decision to hike the level of National Insurance contributions paid by employers in this year’s Autumn Statement was however a political focal point in the chamber. Councillor Price’s proposals described the tax rise as a ‘huge financial burden’ on businesses.
Multiple councillors from different groups spoke out against the policy as part of endorsements for the motion.
Chris Jarman, representative for Totland and Colwell, said:
“I think what we’ve got here is a move which is potentially of substantial detriment to our Island.
“It’s a poorly thought out measure and a knee-jerk reaction from the new government.
“In terms of its impact on the Island, I don’t think it could be broader: it’s effectively a tax on businesses, a tax on jobs and hence all our residents, a tax on this council as an employer, a tax on our contracted agencies as Cllr Mosdell has said and a tax on our suppliers.
“And importantly, it’s a tax on apprentices.”
The councillor for Pan and Barton, Geoff Brodie, said:
“I have major concerns about these National Insurance changes which are going to affect a small charity that I’m the treasurer of, Pan Together.”
Councillor Michael Lilley, who represents Ryde Appley and Elmfield, said:
“Ordinary working people who work for small businesses are extremely worried what is going to happen to them.
“Many of them, who might have voted Labour like Cllr Brodie did, are actually really wondering why they did now.
“It has had a real, traumatic effect on our population.”
On 30th October, Reeves said in a budget speech:
“We will increase the rate of Employers’ National Insurance by 1.2 percentage points, to 15%, from April 2025.
“And we will reduce the Secondary Threshold – the level at which employers start paying national insurance on each employee’s salary – from £9,100 per year to £5,000.
“This will raise £25 billion per year by the end of the forecast period. I know that this is a difficult choice. I do not take this decision lightly.
“We are asking business to contribute more and I know that there will be impacts of this measure felt beyond businesses. But in the circumstances that I have inherited, it is the right choice to make.
“Successful businesses depend on successful schools. Healthy businesses depend on a healthy NHS. And a strong economy depends on strong public finances.”
Some small businesses are charging between £2.50 – £3.00
for either a cup or pot of tea, either way you only get
1 tea bag.
Cost of a teabag, depending on the brand is 1p or 1.5p
small drop of milk and some hot water.
What a profit, and they need support, so do us customers
Prices are getting silly.
I visit Blackpool and I can buy a 99 ice cream for £1
a Burger for £1 and a large slush for £1
NO business on the island offer such deals.
They are stinging locals and want support, pull the other one
it’s got bells on
They are having a Giraffe!
We have two MP’s now the council must make sure that they put their weight behind this
They have no weight, look at the state of the
Ferry Companies (prices and service)
These two MPs couldn’t undo a packet of
Crisps between them.
All politicians say what they want people to hear
and then when voted in they do F all!
Fact.
I give Joe his dues he stuck up for the pensioners
winter fuel allowance, Quigley went against the
Pensioners
NOT A GOOD IDEA WHEN YOU ARE AN MP
ON AN ISLAND FULL OF PENSIONERS