BCC urges govt to help sole traders expand

Date: 5th July 2011

The British Chambers of Commerce (BCC) has called on the government to encourage sole traders to expand by exempting them from certain legislation.

Research recently published by the organisation has identified employment legislation as the main obstacle to growth for many sole traders.

The study found that pension requirements, dismissal rules and sickness absence are deterring sole traders from employing others.

According to the BCC, the number of businesses with no employees has continually grown over the last seven years.

Dr Adam Marshall, the organisation's director of policy, noted: "There are currently over 3.6 million sole traders and while not all of these people want or have the potential to expand, some do. Businesses consistently state that employment regulation prevents them from taking on more staff.

"If the government wishes to achieve its goal of increasing employment, it must respond to sole traders' concerns, and make changes that encourage them to grow when the time is right."

Posted Emily Smith