- Comments on business support, Stamp Duty, Mortgage
Guarantee Scheme, contactless, and taxation.
Responding to the Chancellor’s Budget delivered this
afternoon, David Postings, Chief Executive of UK Finance,
said:
“The Chancellor has set out a bold plan to support the economy
in today's Budget. The banking and finance industry has taken
unprecedented action over the last year to support businesses
and customers, and we will continue to work closely with the
Government to help the nation get back on its feet. This is a
well-constructed Budget that positions the UK as an open and
internationally competitive place to do business and we welcome
the measures set out by the Chancellor to achieve this vision.”
Further comments below all attributable to David
Postings, Chief Executive of UK Finance.
On support for businesses
“The UK’s banking and finance industry remains committed to
helping businesses of all sizes through the crisis and has
already delivered an unprecedented level of support to firms.
This includes nearly £73 billion worth of finance provided
through the Government-backed loan schemes to almost 1.6
million businesses, as well as a range of additional measures,
including overdraft extensions and capital repayment holidays.
With the current Government-backed schemes coming to a close,
we welcome the announcement of the new Recovery Loan Scheme to
help businesses continue to rebuild and will be working closely
with the Government and lenders on delivering it.
“As focus now turns to economic recovery we know that many
firms are still facing high levels of uncertainty and the
industry will continue supporting businesses through the next
phase of the pandemic.”
On Stamp Duty
“We welcome the certainty an extension to the Stamp Duty
holiday and a phased approach to its ending brings for buyers
and sellers. This will help prevent a cliff edge, reduce the
risk of house sales collapsing and will prove beneficial for
all parties involved in the housing market.”
On the Mortgage Guarantee Scheme
“The banking and finance industry supports innovation in the
mortgage market, particularly measures which enable borrowers
to realise their dream of home ownership, through lower
deposits.
“We look forward to working with the Government and lenders on
helping to implement the scheme which will help many more
people get onto the property ladder.”
On taxation
“The banking and finance industry is committed to continuing to
work with the Government to help the nation’s finances recover
from the impact of the pandemic.
“As the UK looks to maximise opportunities for inward
investment and growth, we need a taxation system that ensures
the UK continues to be an attractive place to do business and
enables financial services to support economic recovery. We
welcome the Chancellor’s announcement that the bank surcharge
will be reviewed, and would encourage HM Treasury to consider
the banking sector’s total tax rate as part of this work to
help ensure that the UK is more competitive internationally.”
On the contactless limit
“UK Finance welcomes the flexibility to increase the
contactless limit to £100. This is a great move for customers
and will allow them to use contactless to pay for higher value
transactions like their weekly shop or filling up their car
with fuel.
"This could not have been achieved whilst still in the EU so is
a true Brexit dividend. We will work closely with the payments
sector and retailers ahead of increasing the limit later this
year.”
