FSB wants new Budget to cement SME landscape

29th June 2015 | News

The Federation of Small Businesses (FSB) is keen to see Chancellor, George Osborne strengthen the small business community by continuing to back growing firms, stimulate economic growth and reduce the overall deficit.

Recent FSB research found that positivity among small firms was at a genuine high with record levels of revenue, prolific investment intentions and increased employment all reported.

Productivity among the small business community grew by 1.4 per cent year-on-year in Q4 2014, at a period when UK productivity as a whole only grew by just 0.3 per cent.

The FSB wants Mr Osborne to listen to concerns within the small business community to address issues such as skills shortages, the complexities of the tax system and SME exporting.

John Allan, national chairman, FSB, said: “The UK’s small businesses are reporting record high levels of confidence.
“Unemployment is continuing to drop, UK wage growth is at a four-year high and there are encouraging indications that productivity is finally on the rise.

“The Budget is an early opportunity to provide a boost to the increasing positive sentiment, and for the Chancellor to demonstrate his pro-enterprise credentials by again backing small business to deliver the growth and jobs the economy needs.

“That effort must however begin with a continued focus on reducing the deficit that remains too high for comfort.”

Mr Allan believes a key focus for the Government should be to rebalance the UK economic recovery across the entire nation, beyond London and the South East.

“In doing so it’s important that no areas are left behind in this recovery; rebalancing economic activity and raising the performance of those parts of the UK beyond London and the South East must be a priority for this government,” added Allan.

“By delivering the recommendations set out in our budget submission, the government can create the right environment for small businesses and enterprises to flourish, making the UK economy one of the most buoyant in the world.”

Image: HM Treasury