Coalition 'Will Aid UK's Private Businesses'

There has been a positive reaction to the publication of the full coalition agreement between the Conservative and Liberal Democrat parties.

The Forum of Private Business has said that their initial impression is that thousands of smaller businesses could benefit from many of the measures outlined in the document.

The Forum believes moves to cut red tape, impose 'sunset clauses' on regulations and review employment law will all be welcomed by small to medium-sized enterprises (SMEs).

Additionally, the coalition Government's stated aim of making small business rate relief automatic, simplifying small business taxation and helping the UK's tourism industry are all positive steps which the Forum has previously called for.

Forum Head of Policy Matthew Goodman said: "I'm sure this document will come as a breath of fresh air to many small business owners. In many ways, it reads like a 'wish list' of things the Forum has been demanding for several years.

"The regulatory burden imposed on business frequently emerges as one of the main problems facing SMEs, so the agreement to introduce a 'one in, one out' rule, together with sunset clauses to kill off outdated legislation, will hopefully go some way to tackling this huge issue.

"We're also encouraged by the coalition's pledge to evaluate the fairness of employment legislation, and its impact on Britain's competitiveness," Mr Goodman said.

"Many small business owners believe employment law is grossly skewed in favour of the employee – the need for a more fair and balanced approach is something the Forum has repeatedly highlighted," he continued.

"However, the challenge now is for the Government to translate these intentions into real, practical changes to the business environment, without simply creating more state bureaucracy and unnecessary compliance costs at a time when many small businesses are still struggling.

"And while the coalition's promises to simplify and reduce some of the taxes affecting small businesses are of course to be welcomed, business owners will also be anxious to see that the June 22 budget does not contain any nasty surprises."

(BMcC)