Chancellor Gordon Brown’s pre-budget report has been described as “neutral” for the timber sector by an industry executive.
Philip Brading, managing director of London-based panels manufacturer Neat Concepts Ltd, gave his view after Mr Brown slashed his own economic growth forecast by half, to 1.75% for 2005.
Mr Brading said: “It’s concerning that growth is slowing at a time when sales in the UK are flat. I hope that the possibility of interest rate cuts early next year will help.”
Timber Trade Federation chief executive John White welcomed a freeze in fuel duties but expressed concern that a tax hike on North Sea energy companies from 10% to 20% could fuel further gas and oil price increases.
The TTF and British Woodworking (BWF) Federation both welcomed a new commitment to accelerate housebuilding as part of the government’s response to the Barker Review of Housing Supply.
But the BWF expressed concern that a proposed planning gain supplement on land could make housebuilding less profitable.
The pre-budget report also pleased Joe Martoccia, sales and marketing director at Potton and a director of the UK Timber Frame Association. He especially welcomed plans to streamline the existing planning regime and expansion of shared equity schemes.
The Construction Products Association said there was “little positive news” in the chancellor’s statement.
