Two-thirds of UK's smallest firms disgruntled with tax system

11th May 2016

The majority of micro businesses in the UK believe the nation’s tax system is ‘biased and unfair’, with half of small business owners admitting they feel ‘voiceless’ about government decisions directly affecting their business.

Only a tenth of small business owners were remotely satisfied with the way the UK’s tax and benefits system treats the small business community, according to this latest study by small business membership community, Chorus.

Jason Kitcat, micro-business ambassador for Chorus, said: “Our research shows that the UK’s micro-businesses feel ignored by mainstream political debate and that they feel powerless to influence policy making with a taxation and benefits system that is stacked against them.”

The key support areas for small business owners include late payments (one-fifth of respondents rank it as the first area they would seek support) and cash flow management (18 per cent).

In addition, of those surveyed, more than three-quarters (79 per cent) are not currently a member of any business group.
Mr Kitcat adds that the UK’s smallest businesses are continuing to drive the national economy forward and they need to receive support and representation to better reflect this.

“It’s clear that it’s time for the decision makers in Government to understand and value the hard work of the micro-business community, and we are here to help make this happen,” added Kitcat.

With more than 5.2 million micro businesses in the UK employing between 1-9 staff, this business community accounts for 96 per cent of all British businesses, employing approximately 8.4 million people across the country.

At TaxAssist Accountants, our nationwide network of accountants work with micro firms all year round to provide financial guidance and support to those looking to establish themselves and take their business forward.

If you’d like to discuss your business’ financial situation, please don’t hesitate to arrange a free initial consultation with your local TaxAssist Accountant who will determine exactly how we can help. Simply drop us a line using our simple online enquiry form or give our friendly team a call on 0800 0523 555.

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