British businesses have appealed to all the parties for swift and decisive action to end the political uncertainty amid fears that the confusion over a hung Parliament is destabilising the markets.
Lobby groups and City traders have united in warning of the dangers of prolonged ambiguity as equity, bond and currency markets lurched in the face of the first hung Parliament since the 1970s.
Miles Templeman, Director-General of the Institute of Directors, said it was “vital that this political vacuum is filled as quickly as possible”
He added: “The country simply can’t afford an extended period of political horse trading which delays much needed action to tackle the deficit. Politicians have postponed the difficult decisions on public spending cuts for too long already. Further delay will only jeopardise the future of the UK economy.”
Terry Scuoler, chief executive of the EEF said: “We need to see political maturity and courage to face up to the tough decisions which are necessary. Business and the markets will be looking for immediate and decisive action. This must include a clear plan for how and when we will reduce the public deficit and the modernisation of our tax system to rebalance the economy and promote investment.”
He added: “The clock is now ticking on action to get our economy going again and tackle the crisis in our public finances. Manufacturers will fear that a political impasse and a failure by all parties to come together will stall this and risk damaging our economy.”
Phil Orford, chief executive of the Forum of Private Business, said: “I expect many smaller businesses will be disappointed that the election has resulted in a hung Parliament.“However, the outcome can’t be changed so it is vital that the newly-elected MPs put aside party politics and work together to come up with a credible system of governance."
