25 Sep 2023
Empowering Small Businesses: A Plea for Supportive Government Policies
The economic landscape in the UK has been incredibly challenging in recent years, particularly for SMEs. These companies make up the business backbone of this nation and they are likely to be the driving force behind our recovery and any potential growth-based revival, ploughing more into local economies than large corporations, particularly those registered offshore.
Their undeniable contribution to economic recovery and expansion should not be underestimated. According to Government statistics, SMEs constitute 60% of the UK workforce and contribute 52% to the country’s GDP. They provide employment for 16.4 million people and generated a remarkable £2.1trn in turnover in 2022. Despite the Government’s claim to support and champion small businesses, the current administration has imposed hurdle after hurdle in the paths of many.
In 2020, the UK witnessed an unprecedented 47% increase in SME business failures compared to 2019, as reported by the Insolvency Service. This was a significant blow to the economy, despite Government support measures. Unfortunately, this trend has continued, exacerbated by an economic downturn, surging inflation, and looming loan repayments.
To read the full article by Dan Todaro, Managing Director please visit Business Leader