Chancellor's Budget contains 'some good news' for UK tech industry
The Budget contained some good news for the UK’s tech industry, and especially small businesses and start-ups seeking to harness the benefits of rapid digital transformation.
The first step was in targeting the web giants who avoid paying VAT in the UK, creating unfair competition for small firms. Closing this loophole and ensuring large providers are paying what they owe is good news for everyone in the industry.
The ‘tax break for a digital age’ promised on top of this – with allowances for new activities such as renting a room online – shows a willingness to embrace and encourage new industries and the sharing economy.
Already dubbed “AirBnB allowance”, the policy is specific to trading and property income, but it is great recognition and encouragement for disruptive players and future digital transformation.
The reform of business rates is also a welcome announcement, as the removal or reduction of rates for thousands of SMEs is sure to benefit many fledgling tech companies as well as the shops on our streets.
Most appreciated from my perspective is the investment in digital infrastructure. The Broadband Investment fund and 5G strategy are much needed schemes to bring our national networks up to speed.
These dedicated resources will ensure that the UK is at the forefront of digital innovation once 5G technology comes to the fore with a strong foundation to build off.
The announcement was encouraging – let’s make digital Britain a reality.
Richard Higgs, CEO of data centre and cloud provider brightsolid