A poll of 1,600 ICAEW members has found that the Budget is expected to have negative impact on businesses and accountancy firms.

Nearly three-quarters (74%) of ICAEW members agreed the Budget would negatively impact their businesses.

Accountancy firms were rattled by the Budget, with 22% saying they expected the chancellor’s announcements to have a ‘very negative’ impact on their business and 48% expected to have to increase their prices.

Across business and firms, more than a third (37%) said they would have to cut jobs as a result, but the figure for accountancy practices was not split out.

Investment was also expected to be hit, with 30% saying that it was likely to be reduced.

Iain Wright, chief policy officer at ICAEW, labelled last month’s Budget as ‘a missed opportunity to support growth’.

‘Our members consistently tell us that doing business is too expensive, too difficult and too uncertain’, said Wright. ‘Unless the government signals a clear change of course, it will struggle to deliver the conditions for growth the UK needs.’

Similarly, a survey of finance professionals by ACCA has found overall disappointment in the chancellor’s Budget, citing more uncertainty and higher tax complexity.

The survey found that eight out of 10 finance professionals believe the Budget will negatively impact the country’s economic growth.

There was a belief that growth had been damaged, with 80% of businesses saying that the Budget's measures will have a 'negative' or 'very negative' impact on the UK economy.

Stalled investment was also an issue, with expectations of future investment plummeting and almost two thirds (64%) stating they are now 'less likely to invest' next year.

In a similar picture to last year’s Budget, recruitment freezes are now expected. The labour market could now suffer, as 66% of businesses indicate they are 'less likely to recruit' new staff following the rise in the national minimum wage and freeze on tax thresholds. 

Gemma Gathercole, strategic engagement lead, ACCA said: 'This Budget should have been the opportunity to create a clear message for the country, one that prioritised stability and certainty in how to get the economy moving again. Instead, we have seen more tax complexity through the continued use of “tweaks”, rising wage costs and greater regulatory burdens – leaving many businesses considering redundancies, downsizing or moving operations overseas.' 

A snap poll of over 500 business leaders by the Institute of Directors (IoD) following the chancellor’s Budget statement found that 80% were negative about the tax changes.

The most negatively viewed was the removal of full tax-free salary sacrifice on pensions with the new £2,000 limit.

Over half (53%) of respondents said the change would have a ‘very negative’ impact. This cap will hit nearly 300,000 companies with nearly half of current employee users facing higher tax bills

Reducing the writing down allowance main rate in corporation tax was also unpopular with 31% saying it would be ‘somewhat negative’, and 35% saying it would be ‘very negative.’

Main rate of writing down allowance was cut at Budget to 14% from April 2026, and 40% first-year allowance introduced from January 2026. From April 2026 the main rate writing-down allowances for corporation tax and income tax will be reduced from 18% to 14%.

Anna Leach, chief economist at the IoD, said: ‘Firms are telling us that this will hit hiring and investment intentions further, with many also planning to review their pension arrangements. After a prolonged and messy Budget period, businesses remain unconvinced by the government’s growth strategy.’