There are concerns ahead of today’s budget with prime minister Keir Starmer already declaring it will be “painful” after reporting a “£22bn black hole” was found in public finances.

In anticipation of potential tax rises, such as an increase in National Insurance contributions, the FMB last week issued a plea to the government to protect SME builders.

According to FMB CEO Brian Berry, these builders cannot “shoulder the burden” of increased costs.

“Over half of FMB members are reporting that their businesses are on track to make a loss and over a quarter reporting that they are restricting the hiring of new staff,” said Brian.

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“If the government is serious about economic growth, it should be empowering and not undermining those companies that are seeking to build the much-needed new homes and make the existing ones more energy efficient.”

Echoing these sentiments, the NFB has also warned that “even the smallest changes to tax and regulation can have enormous impacts” for SME builders.

As such, the NFB has issued several demands to the government to help support builders adjust to higher taxes if announced.

These include full expensing of brownfield sites, increased funding for planning departments and a stamp duty land tax rebate on homes that improve their EPC by two ratings.

“The government is walking a tightrope of balancing its books, while not unbalancing industry. It must create regulatory and pipeline certainty, while ensuring fair and proportionate processes,” said Richard Beresford, CEO of the NFB.

“If we fail to think about what business needs, we will not build 1.5 million homes, growth will be restricted and national renewal will be another period of treading water.”