The Budget

Have been away in London for the last 24 hours and actually missed the budget live for the first time in a decade.

As I am doing a live panel tomorrow for businesses in Cardiff, I will probably blog in more detail later once I have read the full report.

However, my instant reaction is that of many others.

Shock and horror at the £175 billion of public sector borrowing this year.

Incredulity that the 50 per cent increase in the higher rate of tax is perceived as a vote winner (well, until the Conservative Party said that they would not commit to reversing the policy)

Enormous disappointment that nothing real was done to boost the business sector, such as a freeze in business rates or a cut in corporation tax.

Clearly, there is political capital to be made out of this budget but that can wait for another day. What is really worrying though is the news that the pound fell against both the dollar and the euro, which shows that investors are keeping out of the UK.

More frightening is the prospect that if investor confidence drains even further, then the Government will not be able to raise money to service its debts and then must go cap in hand to the IMF.

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