Budget has 'no nasty surprises'

Date: 12th March 2008

The Federation of Small Businesses (FSB) has welcomed today's Budget speech, saying there were "no nasty surprises" for the UK's small business community.

"Finally it seems we may have an announcement from the chancellor that doesn't spring any nasty surprises on small businesses," FSB national chairman John Wright commented.

Mr Wright claimed that tax increases over the last year had been damaging, but added that today's Budget should not create any further problems.

The government has deferred plans to change income shifting rules - which would have added to the administrative burden faced by small firms.

A planned increase in fuel duty has also been postponed until October.

"Plans to reform regulation, improve access to finance by expanding the small firms loan guarantee scheme, help female entrepreneurs and the goal to give at least 30 per cent of public sector procurement to small and medium-sized businesses all have our support," Mr Wright added.

The chancellor also set out plans to impose a charge on single-use plastic carrier bags from 2009, if retailers do not encourage customers to stop using them.

Other points outlined in today's Budget include road pricing plans - which have been heavily criticised by the FSB for potentially increasing transport costs for small businesses.