The rural lobby has responded to the chancellor's budget.

Forum Response: Country Land and Business Association

Sir Edward Greenwell, president of the Country Land and Business Association, told ePolitix.com: "The CLA will shortly be calling for the government to demonstrate its commitment to removing fiscal barriers in the rural economy, to parallel what he has announced today for the urban corporate sector. The need for this commitment has already been made clear by the Curry report.

"The chancellor has effectively excluded the rural economy from his "community of entrepreneurship" because his reforms affect only corporate business. There are 1 million rural businesses, 99 per cent of which employ less than 50 people - primarily sole traders and partnerships. These small rural businesses will not benefit from his cuts in corporation tax but will pay the newly increasing National Insurance contributions."

Forum Response: Countryside Alliance

Richard Burge, chief executive of the Countryside Alliance, told ePolitix.com: "It is important to remember that rural people get less in government spending in all the key areas when compared to metropolitan areas".

"However, the Alliance enthusiastically welcomes the tax break for village pubs and small breweries with the duty paid on own beer halved, this a cut worth 14p off each pint. We hope to see more benefits of this kind for rural communities."

Forum Response: Countryside Agency

Richard Wakeford, chief executive of the Countryside Agency, told ePolitix.com: "We welcome the simplification of VAT for smaller businesses, of which there are a higher proportion in rural areas. The corporate tax reductions will also help new businesses starting up in rural areas.

"However the proposed removal of stamp duty on business properties in deprived areas will miss many rural businesses as it is less easy to define rural areas as deprived. Equally the Community Investment Tax Credit will only affect the 2000 designated Enterprise Neighbourhoods, few of which are rural.

"The reduction of excise duty on smaller engine motorcycles is not only helpful to the environment, but, as our 'Wheels to Work' scheme has shown, could help young rural people to access jobs and services.

"The 50 per cent cut in duty on small breweries' own beers will not only help the viability of small rural brewery businesses, but also some village pubs - as promoted by our 'Pub is the Hub' initiative.

"Childcare has always been a particular problem for rural families, and we particularly welcome the raft of measures announced to support families, especially those on lower incomes.

"Three months down the line the Treasury will be publishing its annual spending review. I hope that Treasury officials will have looked back on this budget, and the submissions they have received from departments, and consider how best to address the rural dimension in spending allocations."