As budget nears, faith in government ‘on a knife edge’ – even in

The dramatic iron canopy over Preston Market has been sheltering shoppers for nearly 150 years.

Even inside the stylish indoor market, which opened six years ago, the trading history of this Lancashire city is palpable.

Old posters remember the Christmas markets of 1902.

“A lot of people have been coming here for a long time,” says Derek Cheetham, owner of the market’s Cherry Pie Coffee & Co.

“It is a religious thing for them to do, to go to Preston Market.”

They have seen plenty of budgets come and go here but, in a seat that has been safe Labour territory since the end of the Second World War, the party’s first budget in recent memory is a significant moment.

“I think it’ll make or break them,” says Valerie Sergeant, owner of Wise Buys Hair and Beauty, adding, “they have to help the middle classes.”

For traders and shoppers alike, the government’s controversial decision to change the winter fuel allowance for pensioners has made many wary of what new economic pain might lie ahead.

“I think we’re on a bit of a knife edge,” Mr Cheetham said.

“They’ve obviously got issues to solve, I think everybody knew that. They’ve tried to make it sound worse than we all thought it might be, probably so that when they make tough decisions, they’ve got a good excuse for it. I don’t think everyone’s buying that, to be honest.”

Like many of the small business owners in the market, he is concerned about the prospect of an increase in national insurance contributions for employers and changes to pensions.

“Most small businesses are not making huge amounts of money. Every time the government puts another cost…