Government tax hikes to pay off the sizeable debts incurred since the beginning of the Covid-19 pandemic represent the biggest threat to the UK economy moving forward, according to a poll of over 1000 small business owners by news platform, Newspage.
Newspage polled its users between 28 and 29 June 2021 about what they believe represents the primary threat to the country's economic recovery. The results were:
- 39% of those polled said the need for the Government to start paying off the debts accrued over the past 18 months represents the biggest threat to already stretched businesses
- 35% of respondents said the end of the Government's furlough scheme poses the biggest challenge, and could lead to a sharp rise in unemployment
- 26% said the Bank of England being forced to raise interest rate to contain rising inflation is the biggest challenge the country faces
Dominic Hiatt, Founder, Newspage, commented:
A lot of small businesses have been stretched to breaking point since the pandemic began and a clear worry is that tax hikes too soon could cripple them and send the economy into a deep and protracted recession. We all know tax hikes are coming, but the Chancellor has to ensure the timing is absolutely perfect or the fallout could be unbearable as already leveraged small businesses buckle under the strain.
Newspage also sought the views of its small business users during the poll. 14 alert_responses are listed below.