{"id":20505,"date":"2025-11-24T09:24:03","date_gmt":"2025-11-24T09:24:03","guid":{"rendered":"https:\/\/ukactive.com\/news\/budget-2025-building-a-strong-economy-needs-a-strong-physical-activity-sector\/"},"modified":"2025-11-24T09:24:03","modified_gmt":"2025-11-24T09:24:03","slug":"budget-2025-building-a-strong-economy-needs-a-strong-physical-activity-sector","status":"publish","type":"post","link":"https:\/\/ukactive.com\/cy\/news\/budget-2025-building-a-strong-economy-needs-a-strong-physical-activity-sector\/","title":{"rendered":"Budget 2025: Building a strong economy needs a strong physical activity sector"},"content":{"rendered":"

By Stephen McLoughlin, Senior\u00a0Public Affairs and Policy Manager,\u00a0ukactive<\/b>\u00a0<\/p>\n

This\u00a0Wednesday\u00a0(26\u00a0November)\u00a0the Chancellor,\u00a0Rachel Reeves,\u00a0will make the short journey from Number\u00a011 Downing Street to deliver her\u00a02025\u00a0Autumn Budget\u00a0for the next\u00a0financial year.\u00a0Although she has declined the traditional opportunity to accompany her speech with a stiff drink, as she stands at 12:30,\u00a0she may feel she needs it.\u00a0\u00a0<\/p>\n

The Government\u00a0is\u00a0operating\u00a0within difficult financial constraints, with\u00a0high levels\u00a0of debt and consistently stagnant\u00a0economic growth.\u00a0The\u00a0previous\u00a0Budget\u2019s combination of tax rises and squeezed spending was described as a \u2018one-off\u2019,\u00a0but\u00a0the\u00a0economic\u00a0picture is little better this time around. For the past few months, there have been a series of leaks\u00a0all along the same lines \u2013 what taxes will rise, and who will pay them?\u00a0\u00a0<\/p>\n

At last year\u2019s Budget, the Government\u2019s attempts to raise money by increasing employer National Insurance\u00a0Contributions\u00a0only served to increase the pressure on businesses,\u00a0including those in the physical activity sector,\u00a0further hamstringing the sector\u2019s ability to\u00a0drive much-needed economic growth.\u00a0\u00a0<\/p>\n

And,\u00a0driving economic growth is\u00a0exactly\u00a0what the sector has been doing, through its own growth and\u00a0driving\u00a0the importance of physical activity to\u00a0help\u00a0get people back into the workforce. As the\u00a0UK Health and Fitness Market\u00a02025\u00a0report<\/a>\u00a0showed,\u00a0the sector has achieved a population penetration rate of 16.9%, achieving a record 11.5 million members and a total income of \u00a35.7bn \u2013 an increase of 6.1% and 8.8% respectively on the previous year.\u00a0<\/p>\n

The strength of the sector\u2019s\u00a0growth (despite\u00a0these\u00a0difficult economic\u00a0conditions)\u00a0stands in contrast to many other\u00a0industries and\u00a0is testament to the value\u00a0of these services to\u00a0more and more people\u00a0who are prioritising\u00a0their\u00a0physical and mental health. However,\u00a0despite this relative success,\u00a0the sector cannot afford another tax rise.\u00a0<\/p>\n

Parts of our sector are still struggling following\u00a0the successive crises\u00a0of the\u00a0Covid\u00a0pandemic, energy\u00a0price rises\u00a0and ultimately, higher\u00a0operating costs.\u00a0The independent sector, less able to absorb those shocks and often\u00a0operating\u00a0with\u00a0tighter\u00a0margins, has found recovery harder and its growth less stable.\u00a0\u00a0<\/p>\n

On the public leisure side, we have seen the difficulties\u00a0facing\u00a0operators\u00a0of\u00a0swimming\u00a0pools\u00a0in particular. The recent discussions around the Government\u2019s \u00a3400m funding announcement involving\u00a0ukactive\u00a0continue and\u00a0must consider\u00a0the\u00a0long-term sustainability for these facilities, as well as the\u00a0growth of the\u00a0wider sector.\u00a0\u00a0<\/p>\n

One\u00a0area we know will be addressed in next\u00a0week’s\u00a0Budget will be\u00a0business rates, with\u00a0the\u00a0Government confirming\u00a0it\u00a0will announce the levels for the revised multipliers, including\u00a0the higher rate multiplier for larger properties. With the plan to remove the\u00a0legacy rate\u00a0relief from\u00a0the\u00a0Covid\u00a0pandemic\u00a0(currently\u00a0set at 40% for the 2025\/26\u00a0financial year), it is essential these changes\u00a0don\u2019t\u00a0increase the burden on\u00a0our\u00a0members\u00a0and\u00a0instead,\u00a0recognise the\u00a0essential role of the\u00a0sector\u00a0on the\u00a0nation’s\u00a0high street and communities.\u00a0\u00a0<\/p>\n

The recent\u00a0Get Britain Working\u00a0report<\/a>\u00a0further illustrated the value\u00a0the\u00a0physical activity\u00a0sector has in\u00a0supporting\u00a0the wider\u00a0economy, with an over-representation of our members\u00a0listed\u00a0within the\u00a0report as\u00a0Vanguards \u2013 exemplar employers who will\u00a0implement the Government\u2019s strategy.\u00a0\u00a0<\/p>\n

This Budget\u00a0needs to harness the potential of the physical activity sector\u00a0to\u00a0support\u00a0economic growth<\/a>, not\u00a0damage\u00a0a growing industry\u00a0with\u00a0an opportunistic cash grab. For a long-term\u00a0successful economy, built on a foundation of health and wellbeing, the Chancellor must not whack us, but back us.\u00a0\u00a0<\/p>\n

ukactive\u00a0members will receive full analysis of the Budget\u00a0and what it means for their\u00a0organisations. To\u00a0find out more about becoming a member,\u00a0<\/b> cliciwch yma.<\/b><\/a><\/p>\n

\u00a0<\/p>","protected":false},"excerpt":{"rendered":"

By Stephen McLoughlin, Senior\u00a0Public Affairs and Policy Manager,\u00a0ukactive\u00a0 This\u00a0Wednesday\u00a0(26\u00a0November)\u00a0the Chancellor,\u00a0Rachel Reeves,\u00a0will make the short journey from Number\u00a011 Downing Street to deliver her\u00a02025\u00a0Autumn Budget\u00a0for the next\u00a0financial year.\u00a0Although she has declined the […]<\/p>\n","protected":false},"author":10,"featured_media":20220,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_price":"","_stock":"","_tribe_ticket_header":"","_tribe_default_ticket_provider":"","_tribe_ticket_capacity":"","_ticket_start_date":"","_ticket_end_date":"","_tribe_ticket_show_description":"","_tribe_ticket_show_not_going":false,"_tribe_ticket_use_global_stock":"","_tribe_ticket_global_stock_level":"","_global_stock_mode":"","_global_stock_cap":"","_tribe_rsvp_for_event":"","_tribe_ticket_going_count":"","_tribe_ticket_not_going_count":"","_tribe_tickets_list":"[]","_tribe_ticket_has_attendee_info_fields":false,"footnotes":""},"categories":[100],"tags":[],"class_list":["post-20505","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blog"],"acf":[],"yoast_head":"\nBudget 2025: Building a strong economy needs a strong physical activity sector | 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