Many business leaders believe the Budget will be harmfulLast week’s Budget will prove harmful to the economy, according to almost half of business leaders.

A poll conducted by the Institute of Directors (IOD) has revealed that just 16 per cent of those surveyed believe Alistair Darling’s Budget will have a positive effect on the economy.

However, 38 per cent believe the impact will only be neutral, while 45 per cent predict the results will be negative.

The IOD claims the survey supports its belief that the government should not delay making deep spending cuts until next year, but should commence right away.

Meanwhile, the survey has also revealed that 64 per cent of business leaders think the Budget will have a negative impact on reducing the UK’s financial deficit, while 67 per cent believe the chancellor of the exchequer is not doing a good job.

Miles Templeman, director-general of the IOD, said: “There is a clear perception among business leaders that this was a bad Budget because it ducked the big issue of the day, which is debt reduction.”

Last night (March 29th), Mr Darling appeared with the two shadow chancellors in a live debate on Channel 4.

Posted by Hayley Edwards