Business · Bristol
How the Autumn Budget impacts the West of England
By Swindon Now Editorial Team · Published
Chancellor John Healey has unveiled a series of budget measures with significant implications for Bristol and the wider West of England region, including infrastructure investment and new tax powers.
Chancellor John Healey has delivered his first Budget, outlining a series of financial measures that carry specific consequences for Bristol and the West of England. While the statement addressed national economic conditions, several announcements target the city and its surrounding authority area directly.
Investment in Bristol Temple Quarter
The government has confirmed a pledge of £10m to support the development of the Bristol Temple Quarter regeneration project. The scheme, which spans a 25-year timeline, focuses on transforming 130 hectares of brownfield land in the vicinity of Bristol Temple Meads station. Plans for the site include the construction of 10,000 new homes alongside academic and office spaces, with the potential to contribute £1.6bn annually to the local economy.
Tourist tax powers
From 2028, the West of England Mayor will be granted powers to introduce a visitor levy, often referred to as a tourist tax. This measure would allow for an additional charge on overnight stays, such as those in hotels and bed and breakfasts, calculated as a percentage of the accommodation cost. The proposal has met with resistance from some industry representatives, who have expressed concern that the costs will ultimately be passed on to visitors and local hospitality businesses.
Regional transport and mayoral authority
The Budget documentation outlines plans for the West of England Combined Authority to develop 18 transport projects across the region, with central government support intended to facilitate these schemes. Furthermore, the government intends to expand the financial independence of Mayoral Strategic Authorities. By the end of the decade, the government aims for 100 per cent of business rates to be retained locally, with 20 per cent of revenue being allocated to mayors from next year and a share of income tax receipts following from 2028.
Aerospace industry boost
A significant industrial development was also announced, with a 10-year £2.5bn programme for Rolls-Royce. This investment aims to develop next-generation gas turbine technology for both civil and defence aerospace. Given the concentration of major aerospace firms in the Bristol area, including Airbus and Rolls-Royce, this programme is expected to sustain high-skilled jobs in the region for decades to come.
Source: Bristol Post — Business · View original