Budgeting Technology – a cut below the rest?

Last week, the 2013 Budget was announced or rather, was leaked by a certain London newspaper, amidst much speculation and high expectations from the tech sector. However, despite much talk from the Chancellor about the pivotal role that technology is expected to play in boosting the UK's ailing economy; it was interesting to note that there was precious little in this Budget to add flesh to the bones of this claim.

Last year’s Budget was full of promises of incentives, but the 2013 one had slim pickings for the technology sector; despite it representing around 12% of GDP. There was no specific mention of an extension to the ultrafast broadband programme announced in last year's Budget, nothing on skills and training and the rumoured Wi-Fi rollout on trains never left the station. The Chancellor did reiterate the Government's intention to give Britain the fastest broadband and mobile telephony in Europe, but no details were announced. While some argued that provisions such as a new £2,000 employee allowance and reduced corporation tax will help companies such as tech start-ups to overcome administrative hurdles, many industry pundits would have liked to have seen specific measures put in place to extend tech hubs, encourage BYOD, and push IT strategies to provide joined-up services.

All in all, this was disappointing. Most of us in the tech industry were undoubtedly expecting more; particularly as the Chancellor had emphasised the critical role of technology in ensuring that the UK is competitive in a global marketplace and vowed to make us the tech centre of Europe. It will certainly be interesting to see if more specific plans emerge later on in the year!