Mills & Reeve responds to Budget 2026

Chris Ross, partner and head of the North West office at Mills & Reeve, comments:

“Many North West businesses were hoping for a low-key Budget that was more pro-growth and less short-term revenue-raising and that’s what they got.

“The overriding desire from regional businesses has been one of stability – certainty on tax policy and a long-term plan that rewards those willing to take risks, put the effort in and invest, not only in their own business but in the North West economy. Did we get that? Yes.

“Measures to address business rates and rising employment and energy costs will be welcomed by regional businesses. The question now is did they go far enough to increase confidence and drive growth.”

He continued: “The big question on capital gains tax (CGT) was answered, and the chancellor held his nerve choosing not to meddle with the current CGT top rate of 24% – instead backing entrepreneurs who are trying to build brilliant businesses that create high-quality jobs through initiatives such as a newly announced founders’ relief and a scale-up programme for female founders.

“Ultimately, we must build a system that incentivises investment and entrepreneurship. Businesses need a fair and stable tax framework. Taxes are levied directly on companies but also on the individuals who own those companies, so a fair regime that reflects the risks and effort entrepreneurs put in will generate growth as well as the longer-term tax revenue for the government to invest in the UK.”

He added: “We work alongside many entrepreneurial-led businesses that recognise the value that regional devolution can bring. Greater Manchester has built capacity over many years to deliver inclusive growth, showing the potential of bringing political power and funding closer to local leaders. Plans to create a new £1.5 billion borrowing facility, aimed at boosting regional economic growth, will be welcomed by North West business leaders. It’s a move that shifts power out of Westminster and into the hands of those people who know their communities best – something that Greater Manchester has proudly taken the lead on for many years. The key now is for regional businesses to work in collaboration with local leaders and institutions to help develop the wider growth ecosystem to unlock future talent, innovation and investment.”