By Stephen McLoughlin, Senior Public Affairs and Policy Manager at ukactive
For many years of British history a change in Prime Minister was a significant moment – a new Government ushering in a new way of doing things. However, in recent years these changes have seemed to amount to little more than changing figurehead – the real issues affecting the ship remaining constant and unaddressed.
This is the backdrop to this year’s Budget. Although Andy Burnham came in with a flurry of announcements, and with them spending commitments, the fundamentals of the economic situation he inherited haven’t changed. Growth remains stagnant, taxes on businesses and people remain high, and public services and infrastructure require investment. Having committed to retaining the previous fiscal rules, new Chancellor John Healey has little room for manoeuvre.
While we can certainly anticipate some tax rises to offset those spending commitments, the new Prime Minister has indicated his is a ‘cost of living’ Government. While support for struggling sectors is understandable, to get growth back on track the Government will need to create positive conditions for the country’s stronger sectors.
ukactive’s Budget submission to the Treasury reflects this. This year’s Health and Fitness Market Report showed the strength of the sector, with record growth and record membership. This growth in turn supports the health and wellbeing of the population, reducing pressure on the NHS and decreasing inactivity.
Our policy requests have been informed by the priorities of ukactive members via the Governance Councils and Policy Group, representing organisations of all types from across the membership, as well as working closely with other trade associations and partners. Engagement with the new Government has also helped frame these requests within new Ministerial priorities.
Recent Budgets have seen growth penalised, with changes to employer NICs and business rates in particular impacting operators’ plans and viability. Our submission calls for the Government to revisit its decision around business rates, further reducing the multiplier for our sector, and increasing the age at which employers must pay NICs for their employees up to 24. These steps would support the PM’s pro-growth agenda and youth employment, considering 30% of our sector’s workforce is aged 16-24.
While our sector is demonstrating strong overall growth, some areas clearly require intervention. The Government has recognised this with the £400m allocation for community facilities and grassroots sport, announced at the last Spending Review, but there is no sign this will reach the facilities in highest need, where impact would be greatest. Alongside unlocking this for our sector, we have asked the Government to explore how Local Government Pension Schemes can support longer-term investment well beyond funding allocations.
One area our sector has made significant strides in recent years is NHS integration, as well as further support for the sector from other Departments. Expanding MSK Hubs, integrating facilities into programmes from the Department for Work and Pensions, and recommissioning the Opening School Facilities programme can all encourage those people most in need of support to be more physically active through our facilities and services.
The full range of opportunities and barriers in our Budget submission have formed the basis of our continuing MP engagement over the past months, as we grow awareness, understanding and advocacy within Westminster. Underpinning all this is the need for a full national strategy to address physical inactivity, led by Number 10 and with proper funding across Departments. With just six weeks to go until the Budget, ukactive will continue to work with its members and partners to raise awareness and deliver the change we seek.
ukactive members can access our full Budget submission here. To get involved and support our lobbying work, contact: publicaffairs@ukactive.org.uk