UK rental industry responds to Autumn statement
23 November 2023
The UK’s Construction Plant-hire Association has said the decision to exclude elements of the construction plant-hire industry from permanent full expensing allowance is “extremely disappointing.”
Full expensing was first introduced by Chancellor Jeremy Hunt earlier this year and allows companies to claim 100% capital allowances on plant and machinery investments.
The incentive was to end in 2026, but Hunt announced yesterday in his Autumn Statement that the government is now making it permanent.
Stu McInroy, chief executive of the Construction Plant-hire Association (CPA) said the decision to exclude some elements leaves “CPA members unable to take full advantage of the allowance.”
McInroy said, “CPA members are pivotal to UK business investment and productivity. If the government is serious in its desire for the economy to grow, plant-hire companies must be afforded the opportunity to take advantage of the changes to the Full Expensing Allowance without restriction.
“We urge the government to bring forward its technical consultation on Full Expensing and engage with our industry as soon as possible. The CPA has to date been a leading member of the Treasury’s working group in this area and we are keen to ensure our members are able to benefit fully from the government’s growth agenda.”
The CPA has over 1,800 members who supply 85% of hired plant to the construction industry.