Cut the cost and complexity of hiring and millions of microbusinesses could become Britain’s growth engine

This is an abbreviated article by Liz Barclay – read the full article at Business111.com/news

If I had one message for the new Chancellor before the Budget, it would be this: create a proportionate, light-touch tax and employment regime for businesses with fewer than 20 employees.

The UK has around 5.6 million small businesses, employing 16 million people and generating £1.6 trillion in turnover. Yet the smallest are expected to navigate rules designed for companies with HR, finance and compliance departments.

Hiring shouldn’t be this difficult

Taking on your first employee brings National Insurance, pensions, payroll, employment law and other responsibilities. For a microbusiness, the cost and perceived risk can make not hiring the safer option.

Reduce that burden and thousands more firms could take on their first or second employee.

Turn side hustles into businesses

QuickBooks research suggests 66% of adults are considering starting a business or side hustle, with 30% planning to do so within a year.

Britain doesn’t lack entrepreneurial ambition. It needs to make starting and growing easier.

Proportionate, not deregulated

This isn’t about removing workers’ rights. It’s about recognising that a business employing three people cannot absorb regulation in the same way as one employing 3,000.

More businesses hiring and growing means more wages, more investment and ultimately more tax revenue.

If the Chancellor wants growth, start with the businesses capable of delivering it.

Give Britain’s smallest firms room to grow and the economy could grow with them.

This is an abbreviated article by Liz Barclay – read the full article at Business111.com/news

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