UK - The Manufacturing Technologies Association (MTA) is reacting very positively to news on the recently announced budget in the UK on the expansion of the Annual Investment Allowance from £200,000 to a whopping £1,000,000 for manufacturers.
In the UK, the budget, presented in the House of Commons, sets out the Government’s economic plan for the country. In the budget announced 29 October 2018, Chancellor Philip Hammond delivered his last scheduled Budget before Brexit and promised proposals that would pave the way for a "brighter future".
James Selka, CEO of MTA, UK’s trade association for companies in the manufacturing technology sector, said: “For manufacturers, the best news was the expansion of the Annual Investment Allowance from £200,000 to a whopping £1,000,000. This was a specific “ask” from the MTA and we are very pleased that the Chancellor agreed with us that it was wise move to boost investment in a difficult climate.” Selka added that this change will apply to any purchase made on or after the 1 January 2019 and is a potentially huge boost for machinery and equipment suppliers over the next two years and should encourage more of MTA member’s customers to invest in latest technology.
MTA also noted that there is good news too for a new allowance for industrial buildings and this new measure should stimulate investment. It was mentioned that such an allowance in the UK was absent in the past as opposed to UK competitors having one.
“These changes are particularly welcome as research we commissioned earlier this year demonstrated that the impact of manufacturing on the UK’s economy is much larger than often believed, with up to 23% of the economy impacted,” Selka said as well.