The first Budget for any government is an opportunity to sell their agenda for the course of a Parliament.
The Budget presented by the Chancellor just over two weeks ago begs me to question what the Labour Government is actually trying to achieve.
Some parts of the Budget included positive items for which we in the LGA Conservative Group have long campaigned, for example the permanent 100 per cent retention of Right to Buy receipts.
However, I fear the Government has got its agenda entirely wrong with respect to businesses and children.
“The Government agenda is entirely wrong on businesses and children”
I don’t believe it really understands the devastating impact its policy on ending the VAT exemption to independent school fees will have on councils: 99,000 children in private sector education receive special educational needs and disability (SEND) support without an education, health and care plan (EHCP). We should be under no illusion that this policy will see a seismic increase in the number of EHCP requests on upper tier authorities.
Then we come to employer National Insurance contributions. At the time of writing, the Labour Government has been unable to confirm whether councils will be exempt from the increases to employer National Insurance contributions.
But even working on the assumption that councils will be, it is unlikely that local government contractors will be, and therefore the burden is going to coming back to councils regardless.
