Budget 2008 'overlooks' IT sector

News Article - 17 March 2008
Category: Business

IT experts claim that last week's Budget from the chancellor wasted a prime opportunity to boost the British IT industry.

According to Computer World UK, Gordon Brown's Business Advisory Council currently contains just one technology company and chancellor Alistair Darling also needs to communicate better with the IT community.

Nick Kalisperas, director of the IT suppliers group Intellect, criticised Mr Darling for failing to provide adequate clarification on plans to provide small businesses with better access to public sector contracts and for omitting much-needed funding for technology education from his first Budget.

Janice McGinn, a research director at the 451 Group, noted that no announcement was made by the chancellor about investment in broadband and higher-speed internet connections or about the role that the IT sector can play in reducing carbon emissions.

Meanwhile, small firms have welcomed the 2008 Budget, but claim that more could have been done to restore confidence in the government.

In his 2008 Budget, Mr Darling outlined a range of concessions for small businesses, including a new £12.5 million fund to encourage more female entrepreneurs, plans to cut red tape, greater access to public service contracts and a six month freeze on fuel duty.

Small and medium-sized enterprises trying to adjust their budgeting to meet government requirements and changes to legislation should invest in effective SME accounting software.

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