UK founders are casting doubt on Andy Burnham’s pro-business push, with the majority believing business conditions will not improve under his leadership. According to a survey by Helm, a membership group of over 400 scale-up founders, just 6% of respondents consider Burnham to be a pro-business PM.
The survey, which drew on founders with a combined revenue of ÂŁ8bn, found that 83% of respondents expected conditions to either stay the same or worsen. Just under half of these entrepreneurs were pessimistic about what was to come.
Helm’s findings suggest that Burnham may struggle to win over the private sector, despite his announcement to cut business rates for pub landlords. Andreas Adamides, the chief executive of Helm, said the poll showed there was a “trust deficit” in Burnham, citing concerns over tax hikes and uncertainty.
Related: AstraZeneca explores $400bn megadeal with US rival
Adamides noted that reversing the employers’ national insurance rise in Burnham’s first 100 days would be a clear signal that the government understands who creates growth. He also warned that another summer of speculation about wealth taxes and exit charges could stop investment.
The tax hike, which raised around ÂŁ25bn more in government revenue every year, has been a major concern for business leaders. Any U-turn on the tax hike would likely add to Chancellor John Healey’s list of funding problems.
Burnham has made a series of pledges on the cost of living, aiming to provide “breathing space” to both households and businesses. However, the Chancellor is heading for a difficult Budget, with pressure to set a path to raise defence spending to 3% of GDP by 2030.
The government is projected to spend more than ÂŁ110bn in debt interest costs in the current financial year, adding to the pinch on public finances. Both the Chancellor and the Prime Minister have asked Cabinet ministers to find savings in their departmental budgets, although it is unclear how far cuts will go.
Related: Al Khelaifi backs Fifa boss Infantino
The energy price shock from the Iran war has also added to the pressure on public finances. As the government faces these challenges, it remains to be seen how Burnham’s pro-business push will play out.
A separate survey of manufacturers showed that sentiment levels across the industry had fallen amid fears that tax hikes could hit businesses.
As the Budget approaches, it is likely that there will be further surveys and analysis of the government’s plans. For now, it seems that Burnham has a battle ahead of him in winning over the private sector.