CBI responds to the OBR's Spring Forecast and the Chancellor’s statement to Parliament - March 2025
26 March 2025
Responding to the Office of Budget Responsibility's Spring Forecast and the Chancellor's statement to Parliament today, Rain Newton-Smith, CEO, CBI said:
"Weaker growth this year is a serious setback but not a surprise given the burden businesses are shouldering after the Budget.
"The Chancellor has kept her promise to business, made at our conference, not to raise the burden further, and focus on the efficient delivery of public services.
"It is the right approach that the government asks of the public sector the same as it has been expecting of business since the Budget - to absorb costs through agility, modernisation and innovation.
"Firms are already braced for a difficult few months ahead with NICs, and National Living Wage increases next week. In its current form, the Employment Rights Bill risks imposing a significant regulatory burden onto companies with damaging consequences for growth, jobs and investment. A landing-zone that commands the confidence of businesses and workers can still be found by taking the time to build a consensus that will give these reforms the footing to have a positive lasting legacy.
"Protecting public capital spending is the right move to create the foundations for future growth but the government cannot deliver growth alone. Only the private sector can provide investment at the pace and scale we need to boost productivity, create jobs and improve living standards.
"The government must use the Spending Review to double down on unlocking investment to secure the more positive outlook for long-term growth. Setting a world-leading goal for R&D investment, giving employers the flexibility to choose the training and qualifications that make sense for their workforce, and improved public private partnerships to fund better homes, better schools and better transport would all help deliver growth."