www.yorkshireeveningpost.co.uk Yorkshire Evening Post, Thursday, April 7, 2011 25 THE BUSINESS Second Budget focus is on growth elivering his second The top tax rate of 50 per cent also remains expected to decline towards 2.5 per cent during Budget in less than ayear, the intact for now, although Osborne warned it 2012. The forecast for government borrowing to would cause “lasting damage to our economy if fund the UK’s budget deficit during 2011 was Chancellor of the exchequer, Money it were to become permanent.” reduced by £2.5bn to £146bn. Borrowing is george Osborne admitted interestingly, the Chancellor announced a expected to decline to £122bn during 2012, and UK economic growth is likely to be consultation about possible measures to merge eventually to fall to £29bn by 2015/16. somewhatD weaker than expected. matters income tax and national insurance –amove notwithstanding the higher income tax nevertheless, he described his Budget as being that would ultimately increase transparency. allowances, any gains to households are likely Andrew This is something that ipersonally have voiced to be impacted by the effects of higher vAT “for growth” and focused on measures to ANTONIOPAUL ILOTT boost UK businesses and entrepreneurship. JAMESBOSANODALBY on anumber of occasions for over adecade, and and national insurance contributions coupled, The opposition party have raised their Elson whilst there will always be afew losers when where applicable, with reductions in some objections to the recent cost cutting, which they you make achange, ibelieve the cost savings benefits, details of which have already been blame for the reduction in growth expectations, If you have afinancial topic you would like covered, in administration, along with the increased announced. nevertheless, the Chancellor while conveniently forgetting they were in write to Honister Partners Ltd, Boston House, 214 transparency in the amount of tax (by any name shrugged off any anticipated criticism, stating, charge of the nation’s finances, when we got into High Street, Boston Spa, Leeds, West Yorkshire, it is called) that we pay will be awelcome boost. “Britain has to stay the course”, which is a this current situation, and do not appear to have LS23 6AD. Email Andrew at andrew.elson@honister elsewhere, 10,000 first-time buyers are to be view shared by many of the leading economic any real alternatives of how to tackle the huge partners.com, or ring him on 0845 0134500 helped onto the housing ladder and given commentators. deficit we have as acountry. assistance to buy newly built properties. The Office for Budget responsibility believes the l AndrewElson is an Independent Financial During the budget he announced he would be However since the budget announcement, it measures contained in the Budget are unlikely Adviser with Honister PartnersLtd. taking £2bn in additional tax from north Sea oil appears some petrol forecourts have been slow to have any material impact on the UK’s long- l The views expressed by AndrewElson are companies and increasing the levy on banks. to pass on this cut, and hopefully pressure will term potential for growth. The Chancellor summaries of what maybecomplexissues The oil company tax will finance measures be brought to bear to ensure any cuts are passed was forced to downgrade expectations for UK and should not be regarded as specific advice aimed at alleviating the effects of soaring petrol on to the consumer quickly. economic expansion, announcing acut in the to anyone reader.The views are based on our prices, with the rise in fuel duty –originally The personal income tax allowance for government’s growth forecasts from 2.1 per cent understanding of current lawand HM Revenue & scheduled for April 2011 –being delayed until individuals was increased by £630 to £8,105 from to 1.7 per cent in 2011, and from 2.6 per cent to 2.5 Customs practice,whichare subject to change. 2012. April 2012, ameasure that will also benefit those per cent in 2012. l Honister PartnersLtd is an appointed Fuel duty has also been cut by afurther 1p per paying the higher 40 per cent tax rate, though inflation is forecast to remain high during representative of Sage Financial Services litre and the Chancellor introduced afuel price not those pensioners benefiting from the higher Ltd whichisauthorized and regulated by the 2011 –atbetween four and five per cent –but is stabiliser to control the cost of fuel at the pumps. age allowances which will remain unchanged. financial services authority. Seminar focus on Anew type of business pensions eMPlOYerS keen to The not Just us programme works on laura said: “The leeds group were learn about new auto-en- Young people to the principle of community to commu- quite shocked. it really shocked them.” rolment pension scheme nity trading. The young people in leeds The farmers send their produce to the rules and the neST pen- learn trading skills deal directly with the farmers growing leeds youngsters who package it and sion scheme can find out the products they sell. sell it to customers. The farmers get a YOUng people are learning how more at aseminar organ- This, says laura, will increase the glo- fair price with asocial premium added ised by Harrogate char- to do business in an ethical way. bal awareness of young people. which can be spent on equipment or im- tered accountants Hay- Anew group in leeds is encouraging Following in the footsteps of the suc- proving communities. wood and Co. its young members to run abusiness cessful Huddersfield project, the leeds The leeds youngsters are learning it will take place from and deal directly with their suppliers. group only started recently but already about marketing and selling techniques 8am on April 19 at the it is following in the footsteps of a members are committed to the cause, as part of the project and decide for them- Yorkshire Hotel in Pros- project in Huddersfield which has seen especially since finding out how poor selves how the profit will be distributed. pect Place, Harrogate, young people raising awareness of the Third World farmers are ripped off by The lorna Young Foundation is and is free. fairtrade ethic. big business. named after aScottish woman who pio- Booking is essential by The lorna Young Foundation is be- laura said: “When the young people neered fairtrade. contacting Kerry Webster hind the leeds scheme which is being found out the issues about it they really She died in the 1990s but Cafe Direct on 01423 521554 or at ker- co-ordinated by laura Smith. care.” offered money to pay for alasting testa- rywebster@haywoodan- The 17-23 year olds from Beeston, Mid- She said that the leeds group had ment to her name, hence the Founda- dco.com. dleton, Harehills and Belle isle are being been inspired by afilm called Black gold tion. neST is the pension encouraged to set up their own enter- which highlighted the poor deal that cof- laura said: “We want to carry on in scheme established to prise which they run, making all the es- fee growers often get and the fact that big lorna’s name supporting smallhold- comply with new legal du- sential decisions to keep it operating. corporations rule their markets. ers.” FAIRER TRADE:Laura Smith ties for employers in 2012. Investment column inveSTOrS turned into 2011 with afair wind: the market was on arun and Markets sail into aheadwind most brokers predicted an FTSe 100 gain of around economic data is also ratio of around 11 –hardly eight per cent. But the encouraging: the US economy an expensive rating. market struggled to make grew faster than first The market still faces headway during the early thought in the end of 2010 challenges: concerns that the weeks as investors began thanks to more companies US government is unwilling to show concern over re-stocking and buying more to tackle its large deficit, that libya and the Middle east, equipment. in the UK figures China will slow its economy the sharp rise in oil and show factory orders rose to to apoint where there commodity prices together their highest rate in three could be a‘hard landing’ for with an increase in the pace by Allan years in March, suggesting the world as awhole, that of inflation, and renewed Collins, amanufacturing rebound. disruption in the Middle east worries over sovereign investment The resilience is also due leads to another oil price debt in the euroZone. consultant to continuing good news on spike, inflation gathers pace, Terrible events in Japan profit growth and healthy and interest rates rise faster triggered afall in shares as debt-inspired fall seen in cash balances; dividend and sooner than expected. initial analysis suggested share prices last April. payments and share buy- This two-year old bull market disruption to production investors responded to back programmes are on the has climbed a‘wall of worry’ could derail the recovery lower values and underlying rise and so too is takeover and recent resilience has in the global economy. bullish factors, pointing activity. Analysts expect been impressive. With the Once facts began to emerge out that central banks, led aggregate earnings of FTSe global economic recovery still however, objective reasoning by the Fed in the US, are 100 companies to increase on track, there could still be took over and the market still pumping money into by 20 per cent this year. That enough good news for the bull regained its poise. indeed, the the financial system and would leave the index on a phase to resume and make correction was significantly encouraging investors prospective price/earnings some decent progress in 2011. less than the euro sovereign to stay with equities.