Industry
Insights

AMF News

Government “Mini-Budget” Reaction

Statement from Richard Swart, Chair of the Advanced Manufacturing Forum (AMF) 

We welcome the freezing of corporation tax, the cancelling of the National Insurance increases, the announcement of new investment zones and the permanent increase to the annual investment allowance of £1 million. 

A nice, welcome inclusion is the plan to support over-50’s back to work, whose maturity and experience is needed more so than ever in the current depleted labour and skills market. 

We welcome too the energy support for businesses and employees, though all wait with interest to see the evidence of this benefit in our bills. 

As a growth plan, however, we fear it will be fatally undermined by the much bigger than needed tax cuts announced and the intention to go further and borrow even more. The timing is particularly poor, fuelling national debt to unsustainable levels if the government presses ahead, according to the Institute for Fiscal Studies. 

Predictably the pound has crashed against the $ and €. Unless there is urgent intervention, it could be sometime before it returns to the higher pre-budget levels. While a weak pound will help exporters, it will also fuel import inflation and the UK is by a far a net importer. Inflation is already at a dangerous high with further interest rate hikes now likely very soon. 

With the Covid economic bounce-back over for many, these further pressures on prices and borrowings in a time of deepening hardships experienced by employers and employees are really worrying us all. 

We call on the government to seriously consider what is happening in the markets, be bold enough to reflect and review rather than stubborn enough to refuse and pursue what could turn out to be a race to the bottom. 

Most manufacturers need stability for growth and confidence. Although the mini budget was well intentioned and to be welcomed in many aspects, overall, we fear it will not deliver growth due to the flaws therein. 

 Furthermore, we ask as a matter of urgency the government proposes a migration policy that will ease the ever-increasing skills and labour shortages across all sectors. 

Related News

Keep up to date with the latest news in advanced manufacturing

June 12th 2025

North East Industry Body Launches Region’s First Women in Manufacturing and Engineering Group

The Advanced Manufacturing Forum (AMF), the North East’s leading membership group for manufacturers and engineers, has officially

Read More

June 5th 2025

Thermoshield by WORR

🔧 Manufactured in the UK. Engineered for Extreme Environments. At WORR, we don’t just supply insulation—we design,

Read More

June 4th 2025

Ward Hadaway announces 11 Newcastle promotions as firm continues to expand

Top 100 law firm Ward Hadaway has promoted 11 team members in its Newcastle office as it

Read More

Back to News

HOW WE CAN HELP

Connecting manufacturers and providing support to drive collaboration.

The AMF provides an extensive range of benefits, insightful events, and exclusive opportunities to support our members in growing and developing their businesses.

Join us

UPCOMING EVENTS

Our events provide expert insights, practical tips and advice on specialised areas

From our Monthly Meetings to our Focused Forums, each of our events sees guest speakers share their real-life experiences and first-hand knowledge of the things that effect your business. With networking and Q&As, our events allow you to connect with and learn from leading industry experts.

Find out more

19/06/2025

10:00 am

Process Improvement Forum

AMF Process Improvement Group

09/07/2025

12:00 pm

Monthly Meeting

AMF Site Visit to Rolls Royce, Washington

17/07/2025

12:00 pm

Monthly Meeting

AMF Monthly Meeting @ Roman Showers

13/08/2025

9:30 am

Monthly Meeting

AMF Site Visit to Turntide, Gateshead

17/09/2025

12:00 pm

Monthly Meeting

AMF September Monthly Meeting – Polyfoam XPS; Hartlepool

15/10/2025

12:00 pm

Monthly Meeting

AMF Monthly Meeting @ Komatsu

29/10/2025

12:00 pm

Monthly Meeting

AMF Site Visit to Siemens Energy

27/11/2025

9:00 am

Other Event

MENE – Manufacturing & Engineering North East 2025