In its submission to the Chancellor of the Exchequer in advance of the 2016 Spring Budget Statement, the Federation of Small Businesses (FSB) has called on the Government to strengthen small business confidence by clearly and consistently backing enterprise.
The FSB’s recent quarterly survey shows small business confidence is cooling in the face of deteriorating global economic headwinds and domestic policy decisions which are coming into force.
Our members are being tested by a series of significant challenges which will drive up costs and increase burdens over the coming months. These include the introduction of the National Living Wage in April, pension auto-enrolment and changes to the tax treatment of dividends. On top of these, small firms still face an unreformed business rates system and the prospect of compulsory quarterly digital tax reporting.
Three weeks ago, the Chancellor spoke to FSB members at our Policy Conference stating he would back small business. FSB calls on the Chancellor to use his Budget to do just that – to boost business confidence, to deliver fundamental reform of business rates and to simplify the tax system.
Mike Cherry, Policy Director for the Federation of Small Businesses, said:
“In the face of a number of emerging global and domestic pressures, small businesses are looking to the Chancellor to back them through what are set to be challenging times ahead. Many are struggling to get to grips with the cumulative impact of a series of new tax and regulatory changes that are due to hit their business.
In this climate, it’s crucial that the Chancellor uses the Budget to reassure small firms and boost their confidence so that they invest, create jobs and drive economic growth. This means no new major challenges that drive up costs and burdens. In addition, Mr Osborne must deliver on his promises to overhaul the business rates regime and simplify the tax system.”