BBC approach Thermotec for budget analysisUncategorized
A leading Midlands manufacturer has made the news after an approach by the BBC for their views on the recent budget.
BBC Midlands Today business correspondent Peter Plisner interviewed David Rose, managing director of Thermotec Plastics Ltd, to get his take what the budget meant for his company and manufacturing in general.
There were several key changes that Mr Rose felt were key to making a positive difference to Thermotec. The Chancellor announced he was able to make savings to bills by cutting carbon tax from 2016/17 for the rest of the decade, stating that the measure will also help medium-sized manufacturers save £50,000 annually.
Mr Rose commented on how high energy prices have had big effects on business off-shoring and was glad to see a freeze on Carbon Tax: "With processes dependent on electricity at a spend of £12,000 per month, our energy bills have tripled in 10 years - we have lost out on European business because of this, and continue to do so."
Another announcement in the budget which was good news to Thermotec was the raise in annual investment allowance. This will aid their continued growth and maintain long term supply into major automotive OEMs.
The Chancellor made a step to improve Britains low productivity levels by reducing the taxes on business investment. Businesses will be able to invest up to £500,000 tax free until at least 2015. This move will have a major positive effect on Thermotec's planned machinery investment.
David Rose concluded: "We are a growing company and are actively investing which will benefit Aston and the surrounding areas, where with high unemployment and low skills are prevalent.
Although there is much focus on improving circumstances for individuals and families, we need further moves to help businesses further."