Winning for business through challenging times

With many firms dealing with high levels of staff absence due to self-isolation, the CBI persuaded the government to reduce the self-isolation period from 10 days to five, helping to keep businesses running and the economy open.

The CBI and its members heavily influenced the government's approach to living with COVID-19, giving firms more certainty to plan, invest, and grow.

With a lack of certainty over TfL's funding impacting business confidence in London, the CBI persuaded the government to extend its funding support for TfL through to 24 June 2022, boosting business confidence, and providing short-term certainty for TfL and businesses in its supply chain.

Continued restrictions on international travel due to the COVID-19 pandemic were giving many businesses serious operational challenges. The CBI gave insights on the impact of these restrictions to the government, and on 14 March the government announced the removal of the remaining COVID-19 international travel restrictions for all passengers from Friday 18 March.

Since the beginning of the pandemic, businesses have been able to conduct right to work checks virtually. However, this was only intended to be a temporary measure. CBI members were worried that reverting to the old system would slow recruiting and onboarding processes down significantly. As a result, the government has made digital right to work checks permanent, meaning faster hiring processes and wider talent pools for firms.

Since Russia invaded Ukraine on 24 February, the CBI has been providing an essential link between business and government, helping to shape sanctions and ensure the government’s actions had business support. In addition, by giving members the latest insights and resources on sanctions, the economic impact, and supply chain disruption, the CBI has helped firms prepare and adapt their operations, saving them time and money. The CBI has also been working with members on the humanitarian response to the crisis.

Amid uncertainty around the UK's relationship with the EU's research programme, Horizon Europe, CBI members were concerned they would lose successful bids they'd already secured. After the CBI fed this in to the government, they agreed to extend their assurance to underwrite funding until the end of 2022. This means both universities and businesses will not lose the research funding they had already secured.

Innovative businesses were previously unable to claim tax credits for some areas essential to R&D, including data and cloud computer storage. They were also facing restrictions on overseas R&D costs - which would have made the UK a less attractive place to set up and run a global innovative business. Following engagement with the CBI, businesses will now be able to claim R&D tax credits for data and cloud computing costs, and their claims for overseas R&D costs will be less restricted.

On 4 March, the CBI partnered with the new Commissioner to host a member consultation and listening exercise. He used the insights he gained in his inaugural speech on 24 March, and the ICO's workplan over the next five years will directly address businesses' challenges on data protection, including compliance costs. Through the CBI, member businesses are now able to engage with the ICO more easily and effectively.

The ongoing energy crisis and the war in Ukraine highlighted the need for the government to ensure the UK's energy security. On 7 April, after consultation with the CBI, the government published the British energy security strategy.

After engaging with the CBI, the government confirmed the extension of the EII compensation scheme, which gives businesses in energy intensive industries a much-needed reduction in energy costs.

Charging VAT on the installation of energy-saving materials and low carbon heating equipment meant little incentive for contractors to choose low carbon products. After discussions with the CBI, the Chancellor announced he would be zero-rating VAT for the next five years on the installation of energy saving materials. This provides a clear incentive for contractors to install low carbon products.

After the launch of the UK Infrastructure Bank in June 2021, there was a large amount of uncertainty around its role, how it would source private capital, and how it would engage with the private sector. The recommendations of the CBI and its members will help to shape the Bank's first strategic plan, giving businesses the voice they need.

On 7 February, Change the Race Ratio, the CBI co-founded campaign to help tackle the low levels of ethnic diversity in UK Boards, reached the milestone of 100 signatories. With more businesses on board, the UK is closer to unlocking the potential £24bn boost from achieving full representation.

From April 2023 - when the super-deduction ends - businesses faced a cliff edge of support for business investment. And following CBI calls for action, the Chancellor set out a clear direction for greater government support for private investment and R&D.

In his Spring Statement, the Chancellor announced that he will review the apprenticeship levy - specifically whether the tax system and the levy is doing enough to incentivise businesses to invest in the right kinds of training.

With the government proposing to introduce an EPR scheme in 2023, businesses were concerned a lack of clarity on the changes needed would mean many would struggle to make these changes in a short timeframe. After engagement with the CBI, the government has delayed the introduction of the scheme to 2024, giving businesses more time to prepare.

The CBI fed into the government's consultation on the development of a hydrogen business model to supercharge private investment in new low carbon hydrogen projects, and the government listened - publishing a Hydrogen Investor Roadmap on 8 April.

Prior to the publication of the levelling up white paper, the CBI fed into the government’s consultation. The government accepted the CBI’s view that business-driven economic clusters can be a catalyst which brings the UK’s levelling up ambitions to life. And since then, the CBI’s programme of work to advance clusters around the UK has been advocated by the government.

Businesses have been waiting a long time for a new Digital Strategy to set out the government’s vision and unlock certainty, clarity and investment across the digital economy. Since 2019, the CBI has been championing the interests of businesses and shaping the new strategy. Business now has a clear cross-government vision and roadmap for the UK’s future as a leader in digital technology. The strategy also provides a new avenue for firms to directly engage in, and troubleshoot, digital regulation concerns through the CBI.