DORSET is waiting to hear how much it will get of a £683million budget for economic growth following the chancellor’s autumn statement.

Philip Hammond’s speech included a series of plans to boost productivity and help low income workers.

Fuel duty was frozen, the national living wage was increased and cuts to universal credit were eased.

But the Office for Budget Responsibility slashed growth forecasts for next year and predicted higher than expected public borrowing – forcing Mr Hammond to abandon George Osborne’s plans to balance the books.

The chancellor said the south west, south east and London had secured £683m for economic development in the latest round of Growth Deal funding.

Lorna Carver, director of Dorset Local Enterprise Partnership (LEP), said: “Dorset LEP submitted a strong and ambitious business plan to accelerate economic growth, jobs and skills across Dorset. We are now keen to understand from government how this regional figure will be broken down and which projects in Dorset have secured investment.”

Ian Girling, chief executive of Dorset Chamber of Commerce and Industry (DCCI), welcomed the chancellor’s focus on business.

“The investment in roads, local transport, world class digital infrastructure, innovation, research and development are all to be welcomed and we will be very keen to see the details of how Dorset will benefit,” he said.

“Equally it was positive to hear of £1.8bn coming from the Local Growth Fund for the English regions, and we will want to hear just how Dorset will fare.

“We were also pleased to see investment in housing and associated infrastructure given that affordable housing is showing itself as a serious barrier to growth for Dorset businesses.”

Angela Piromalli, chair of the Institute of Directors in Dorset, said: “This was a sensible and sober autumn statement. The chancellor’s attempts to increase productivity by investing in transport infrastructure, broadband and housing are welcome, but businesses would also have liked to have seen measures to encourage them to invest now.”

She added: “The government will be borrowing heavily over the next few years, so it’s a shame that they couldn’t use more of the fiscal headroom to encourage investment through measures such as raising the Annual Investment Allowance, which could deliver productivity increases sooner.”

Alex Simmons, partner at Saffery Champness in Bournemouth, said: "The chancellor’s first budget post-Brexit had a focus on productivity, maybe with trading in the global market in mind.

“Additional borrowing will provide funds for investment in infrastructure and innovation, with inward investment encouraged with a commitment to lowering corporation tax to 17 per cent as previously announced. The additional borrowing will come at a tax cost, some of which looks to be by a move to align the tax treatment of employees and shareholders.”

Julian Smith, tax partner at chartered accountants and business partners PKF Francis Clark in Poole, said: “I can’t help feeling that the Autumn Statement was rather a damp squib. The pre-announced rise in the income tax threshold to £11,500 is welcome as is the increase in the National Living Wage to £7.50 from April. However, the rise in insurance premium tax to 12 per cent from next June means it has doubled in less than two years showing that so-called stealth taxes are still alive and kicking.”

Neil Andrews, head of Coles Miller Solicitors’ commercial department in Poole, said: “This was a muted autumn statement from a chancellor who didn’t have a lot to play with.

“The commitment to 17 per cent corporation tax will be welcomed by businesses across the board. In the competitive marketplace after the Brexit vote we want to be seen as the fiscal jurisdiction in which to do business.”

He added: “The 40,000 new affordable homes announced by the chancellor are much needed.”

But Liz Tapley, who owns TaxAssist Accountants in Poole, said small businesses were “completely left out in the cold” by the statement.

"Small businesses are already facing huge challenges from compulsory contributions to staff pension pots, the National Living Wage, changes to the way dividends are taxed and onerous business rates and there was no respite from the chancellor,” she said.

“In fact, the further increase in the National Living Wage announced today – from £7.20 to £7.50 an hour from April – could deter recruitment decisions and slow down growth.”

Chris Downing, director of Poole accountancy firm Inspire, said: “We were hoping for something to support our entrepreneurial clients and boost their businesses, to help future growth. However, the chancellor’s theory was instead to increase Britain’s productivity through government funded measures, to increase the GDP of the UK and reduce the deficit.

“The one good thing that has come out of this statement is that there has been little change from a tax/business point of view which is gratefully received as business needs stability right now.”

Paul Tansey, managing director of Poole-based marketing Intergage and a director of DCCI, said: “The planned £1 billion-plus investment in digital infrastructure – especially 5G – cannot come too soon.”

Earlier this week, it was confirmed that Bournemouth would be the first place to trial a mapping tool for the rollout of 5G, and Mr Tansey said this “cements the area’s burgeoning reputation as a digital leader”.

Robert Rutherford, CEO of Bournemouth IT consultancy QuoStar, also welcomed the money on rolling out 5G mobile and fibre optic broadband.

He said: “With this planned digital boost and the ongoing regeneration in the area, organisations should be confident in the opportunities for business development and growth ahead.”