Small business owners work too – Westminster needs reminding

              

 

This is an article by Liz Barclay – copyright https://business111.com/news

Try telling a café owner working 70 hours a week that they aren’t a worker. Or a builder who spends all day on site before tackling invoices, wages and VAT. Yet a government minister has reportedly declared that employers aren’t workers, they’re companies. It’s the kind of remark that makes Britain’s small business owners wonder whether politicians understand how they earn a living.

The Government’s own figures show that around 95% of UK private sector businesses have fewer than ten employees, including owner-only businesses. Among firms employing staff, more than eight in ten have between one and nine employees.

These aren’t corporate giants. They’re builders, hairdressers, shopkeepers, tradespeople and family businesses keeping local economies alive.

Employers are workers too

Small business owners frequently act as managing director, bookkeeper, receptionist, salesperson and cleaner. They also carry responsibility for employees’ wages, pensions, tax and workplace safety.

Unlike employees, many owners have no predictable salary. Their personal income depends on whether the business makes enough money after everyone else has been paid.

They may not be workers in the technical employment-law sense, but they certainly work for a living.

Rules designed for corporations

Small employers face many of the same legal responsibilities as much larger companies, but without specialist departments to manage them.

A business employing three people cannot spread administrative costs across hundreds of employees. The owner often handles payroll, employment obligations and compliance after finishing the day’s work.

We need simpler procedures and proportionate enforcement that protect employees without overwhelming the smallest businesses.

The pressure is personal

For many microbusiness owners, household and business finances are closely connected. Rising energy bills, wages and supplier costs can mean reducing their own income or using personal savings to keep trading.

They also carry the responsibility of providing employment for others, often while worrying about their own mortgage and family finances.

Britain depends on small employers

Small and medium-sized businesses supported around 16.9 million jobs in 2025, accounting for 60% of private sector employment.

They train people, support local suppliers, provide essential services and keep communities functioning.

When a small business closes, the damage extends beyond the owner. Employees lose jobs, suppliers lose customers and local economies lose activity.

Respect the people behind the businesses

The Government regularly calls small businesses the backbone of the economy. But those words mean little if policies are designed without understanding how microbusinesses operate.

Small employers need straightforward regulation, clear guidance, fair enforcement and the confidence to invest and recruit.

Protecting workers and supporting employers aren’t opposing objectives. Employees need successful businesses, and businesses need good employees.

Britain’s smallest employers aren’t faceless corporations. They’re hardworking people taking financial risks and creating opportunities for others.

If the Government wants economic growth, it should start by recognising that business owners work too.

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

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