The 2021 Budget Announcement
The 2021 Budget was released recently to show us where the government plans to invest money around the different sectors. These include the Education and Skills, Health and Social Care, Hospitality and Retail and Global Britain plans. As a leading , we will break down the announcement highlighting the parts, which may affect you.
Education and Skills
The education sector is in dire need of more funding to help support teachers and education professionals. Filling roles has been difficult due to low pay, adding pressure to teachers currently working and making entering the job market less feasible.
o There will be a push to raise teacher starting salaries to £30,000
o We can expect 500 schools to be rebuilt to have access to more modern services
o £2.6 billion made available for special education and needs
o £4.7 billion to be added to the core schools’ budget
o £1.8 billion to help schools deliver evidence-based approaches to support the most disadvantaged pupils
o A much-needed funding increase for apprenticeships to £2.7 billion by 2024-25
Health and Social Care
The Covid Pandemic has highlighted the strain on the NHS and has brought forward several of the issues it has needed help with over the past years. With a combination of low pay and reduced job applicants, there has been added strain on existing employees to fulfil the needs of the nation before lockdown even hit. However, other than a pledge to employ a further 50,000 nurses, no specifics on funding and numbers or when this funding or efforts could be expected were revealed.
o The Adult skills system will get an investment of £68 million
o There will also be an investment in public transport, of £5.7 billion over five years in eight City Regions, including West Yorkshire, Greater Manchester, Liverpool City Region, and the Tees Valley
o The government is launching a Global Talent Network to find and bring talented people to the UK to fill science and technology sectors
o Launch of Scale up, High Potential Individual and Global Business Mobility visas to attract more skilled people
o The Global Britain Investment Fund and the Annual Investment Allowance extension should also help to boost local and regional economies and growing businesses
Driving and Logistics
Following the shortage of HGV drivers, England has seen supply chain shortages for all manner of goods. There is a hope that the following implementations will help to reduce strain on the supply chain:
o An investment of £32.5 million in roadside facilities for HGV drivers
o The government will be freezing vehicle excise duty for HGVs
o Suspending the HGV road user levy for 12 months from August 2022
Hospitality and Retail
Hospitality and retail took a large hit over the pandemic and lockdown, needing to recoup massive losses to business income. The government has set aside plans to help reduce the strain on recovering businesses:
o At least 90% of hospitality, retail and leisure businesses could receive at least 50% off their business bills during 2022-23
o The government will cut duty rates on draught beer and cider by 5%, taking 3p off a pint.
The duty rates on beer, cider, wine, and spirits will also be frozen for another year