Steve Mulholland, Chief Executive Officer of the Construction Plant-hire Association(CPA), who represent almost 2,000 UK companies and 85% of UK construction plant, reacts to yesterdays budget

Following the Budget announced by Chancellor Rachel Reeves today, Steve Mulholland, Chief Executive Officer of the Construction Plant-hire Association (CPA) said:

“Today’s Budget, and the Chancellor’s refusal to reverse the damaging changes to Business Property Relief (BPR), has intensified the cliff edge facing family firms next April. Our industry needed a Budget that backed builders. Instead, the Chancellor has turned the other way.

“Over 80 per cent of CPA members now fear they will struggle to pass their business to the next generation. These are not abstract numbers, but real companies providing the machinery that build Britain. Undermining their future undermines the country’s future.“

80,000 Hours

That’s a remarkable amount of work hours for a single machine, the Norcar 600 owned by Erkki Rinne is taken well care of, it even has the original Diesel engine.
Kieran Anders Forestry

Kieran Anders is a forestry contractor working in the lake district. His work involves hand cutting and extracting timber using a skidder and tractor-trailer forwarder.
Promoting safety in the workplace

It is not possible to eliminate chain shot, but there are simple steps that can be taken to reduce the risk.
Glasfryn Fencing and Sawmill

Arwel takes great pride in the fact that the mill has no waste whatsoever, “the peelings are used for children’s playgrounds, gardens and for farm animals in barns in the winter and the sawdust has multiple uses in gardens and farms as well.
Keeping Timber Hauliers Safe

Timber hauliers need to encourage young blood in, and also look after the hauliers we have, we need make the sector a safe and positive place to work.

FIND US ON

“Labour’s target of 1.5 million new homes is now under fresh strain. Seventy-six per cent of members expect investment in new equipment to fall, and two-thirds expect cuts to staff and apprenticeships because of the Inheritance Tax reforms. The industry needs around 250,000 additional workers every year just to meet infrastructure demand. You cannot build more homes by weakening the businesses and jobs that deliver them.

“This was the moment to support the firms at the frontline of Britain’s growth ambitions. Once again, the Chancellor has failed to deliver.

“While funding SME apprenticeships for under-25s is welcome, it does not come close to the scale of the challenge. Construction employs around 10 per cent of the UK workforce yet accounts for 15 per cent of all insolvencies, with unemployment having risen by 282,000 over the past year. Family-run firms cannot hire at the pace Britain needs when their cost base is already being squeezed by last year’s Business Property Relief changes and rising employer taxes.“

“The Chancellor’s decision not to reverse last year’s damaging Employer National Insurance hike will continue to choke construction employment across the country. The warning signs are already flashing red. Construction accounted for more than 15 percent of all UK insolvencies this summer, yet today the Chancellor chose to tighten the screw.

“Materials output is at a seventy-five-year low. SMEs are struggling to invest in equipment, apprentices and safety-critical training. Piling higher employment costs on top of this is a recipe for fewer jobs, delayed projects and weakened capacity across the supply chain.

“If the Government wants Britain to build, it cannot keep taxing the businesses that do the building. Today was the moment to back jobs, apprenticeships and growth. Instead, the Chancellor has looked the other way.”

The CPA is the largest trade association for the plant-hire sector in the UK, representing almost 2,000 companies who are responsible for 85% of the construction plant used in the UK.