I must admit to being pleasantly surprised by the announcements of Mr Osborne’s 2014 Budget. We were expecting a rehash of the previous autumn statement, but no. In fact, he delivered several items from our accountancy wish list, and even a few surprises.

We were encouraged to see the extension of the annual investment allowance (AIA) beyond the 1st January 2015. In addition to prolonging its support for business investment, the government has gone one better in doubling the AIA to £500,000. This is excellent news for businesses that regularly invest in plant and equipment, the manufacturing industry in particular. Manufacturers will also benefit from the Government’s planned reforms to reduce the costs of energy for businesses. In the case of Newport, Gwent and south Wales at large I’d have to agree.

In years past Wales has counted itself lucky to even receive a name check in the budget, as a region we have become accustomed to being an afterthought by the Chancellor. This year is different; compensation on higher electricity prices for energy-intensive industries almost seem tailor made for Newport’s own Tata Steel and the growing manufacturing base that Gwent is once again becoming. This, combined with the fact that the budget also granted powers for the Welsh Government to use its existing borrowing powers to begin the long overdue M4 relief road, will probably make this year’s budget one of the most meaningful the region has ever seen.

Before Wednesday, it was generally expected that Mr Osborne would look to keep his ‘powder dry’, to save such announcements until the elections loomed, apparently not. In this case I’m happy to accept we misjudged, I’m certainly not going to complain about an expected £36 million increase (over the next two years) for the Welsh Government’s coffers.

Other positives included a much needed move to simplifying national insurance, with the abolition of national insurance for under 21’s from 2015 and the introduction of a new ISA which increases the tax free savings limit to £15,000. Another, often overlooked aspect of the budget, is the raising of the research and development (R&D) tax credit payable to loss making SMEs from 11 per cent to 14.5 per cent, this must be utilised by Welsh SME’s and start-ups.

Overall, the budget started with the introduction of a new £1 coin and hopefully its further announcements will lead to more of these landing in the pockets of Welsh businesses, manufacturers and savers.