Tech Founder Slams Autumn Statement 2024: Budget 'Did Nothing for Growth' Despite £10 Billion Headroom Increase

London – Prominent tech founder Barney Hussey-Yeo has issued a sharp critique of the Autumn Statement 2024, directly addressing Torsten Bell of the Resolution Foundation, asserting that the budget failed to stimulate economic growth despite an estimated £10 billion increase in fiscal headroom. Hussey-Yeo, CEO of an AI-powered data analytics company, argued that the government's central mission of fostering growth was undermined by the budget's provisions.

In a detailed social media post, Hussey-Yeo contended that significant spending on redistribution, estimated by him at £16 billion, did not effectively support growth or redistribute wealth efficiently. He specifically questioned welfare adjustments, stating, > "The redistribution isn’t even defensible. You originally scrapped Winter Fuel Allowance because it wasn’t means-tested and transferred wealth from young to old. You cut PIP because it’s the most abused part of the benefits system. That’s where the money went. It doesn’t support growth."

Hussey-Yeo further criticized measures aimed at scale-ups, including an increase in the Enterprise Management Incentive (EMI) limit and a three-year stamp duty exemption for certain business property acquisitions. He stated, > "as a founder, I can tell you categorically these measures won’t move the needle. The EMI limit increase doesn’t even cover real scaleups. The three-year stamp duty exemption is still worse than the US, where there’s no stamp duty at all."

The tech entrepreneur also highlighted the abandonment of the proposed Tech ISA, which he believed would have driven investment and growth, and urged a more aggressive push for the British Business Bank (BBB) to anchor top-tier growth funds. Commitments to the BBB were reaffirmed in the Autumn Statement as part of existing long-term strategies.

Beyond policy specifics, Hussey-Yeo expressed frustration over the "chaos" preceding the budget, citing internal discussions and leaked proposals within the Labour Party regarding "exit taxes" and "wealth taxes." He claimed these discussions, despite leadership ruling out such broad-based taxes, caused > "real economic and reputational damage to Labour."

Hussey-Yeo concluded by emphasizing the critical need for the UK to prioritize growth to improve living standards, urging policymakers to make "hard choices" rather than appeasing political factions. His comments underscore growing concern among some business leaders regarding the government's approach to economic policy and its impact on the innovation sector.