July 2, 2020
Published: The Accountant
The Chartered Institute of Management Accountants (CIMA) has published a set of recommendations designed to support the UK Government in helping the country recover from the Covid-19 pandemic.
CIMA has called on the UK Government to concentrate on four key areas:
- Providing businesses and consumers with confidence to invest and do business. Key recommendations relate to temporarily lowering VAT to encourage business and consumer spending; cutting employers’ national insurance bills to help keep people employed and create new jobs.
- Providing businesses with certainty. Key recommendations pertain to outlining business tax plans for the next two years so companies can make informed investment decisions and pausing plans to implement new business regulations to ensure companies can focus on recovery.
- Creating a more sustainable business environment. Key recommendations include supporting the adoption of integrated reporting for businesses across the UK to better showcase how they create value, beyond financial results, for all stakeholders.
- Investing in skills to help generate economic growth and improve productivity. Key recommendations encompass changing the Apprenticeship Levy to an Apprenticeship and Skills Levy for all workers to ensure businesses have the talent they need to succeed now and in the future.
CIMA chief executive of management accounting Andrew Harding said: “We must of course tackle immediate issues such as restoring jobs and increasing consumer spending, but the UK Government must also ensure that its recovery strategy encompasses long-term priorities. This includes putting a greater focus on tackling our faltering productivity, widening skills gap and failing social mobility to deliver a truly inclusive, lasting economic recovery and propel our resilience to the next level. This will be the uphill battle of the UK’s post-lockdown world.”