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News Release from: The Forum of Private Business
Edited by the Manufacturingtalk Editorial
Team on 21 September 2006
Are UK's small businesses being
forgotten?
As the UK's political 'party conference season' begins, a survey from the FPB shows that political parties need to do more to to represent the needs of smaller UK businesses.
A survey by the Forum of Private Business (FPB) has found that its members believe none of the major political parties in the UK are doing enough to represent the needs of smaller businesses The majority of respondents did not know which politician in the UK's main three political parties had responsibility to look after the future of their business
This article was originally published on Manufacturingtalk on 13 Sep 2005 at 8.00am (UK)
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The research was carried out ahead of political party conference season.
Almost 200 small and medium-sized firms took part, but most respondents did not know which Labour, Conservative or Liberal Democrat MP had responsibility for smaller businesses.
Just 33% of respondents knew that, as Minister of State for Industry and the Regions, the Rt Hon Margaret Hodge MP had responsibility for small firms.
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47% did not know this, whilst almost 20% had never heard of Hodge.
The FPB's campaigns manager, Victoria Carson, said the results of the survey showed how the Government had pushed small-business issues to the sidelines.
"It is clear that the Government is not doing enough to engage smaller businesses despite the fact that they make up the overwhelming majority of firms in the UK." She added: "Owners of smaller companies feel overlooked and undervalued by continued legislation that is weighted in favour of big corporations." Stuart Mitchell is a member of the FPB who took part in the survey.
He runs Machine Building Systems in Ripley, Derbyshire and says that more needs to be done to encourage firms, rather than obstruct them.
"I see government as a 'drag' on business.
It should be setting a framework, but it does dreadfully interfere with the huge amount of legislation it keeps throwing our way.
We have had huge bills as a result of unwanted legislation that has become a real imposition." The FPB, which represents around 25,000 small and medium-sized firms in the UK, is campaigning for better representation for them in government.
Mitchell said there needs to be a redressing of the balance between the policies that are beneficial to small and larger firms.
"We do need big business and we want them to be successful, but they have no loyalty to the country they are in.
Smaller firms are routed in their locality and are the lifeblood of the economy.
For the well-being of the British people, the opinions of smaller businesses should be prioritised." The FPB helps to redress that balance by sampling the opinions of its members in its quarterly Referendum publication and passing the comments from firms directly to their MPs.
The Conservatives faired equally poorly in the survey.
The research showed that just 8% of respondents were aware that, as the Shadow Minister for Business and Enterprise, Mark Prisk MP is the Tory with remit over smaller businesses.
34% were unaware of that fact, whilst 58% had never even heard of Mr Prisk.
Carson thinks the Conservatives must listen to the voice of smaller businesses if they are to avoid making the same mistakes as the current government.
"If the opposition are to win the support of the owners of small and medium-sized firms, they must make sure they don't treat them as an afterthought.
The response to this survey shows that our members are not yet convinced that their needs are high enough on the Conservative Party's agenda." Mitchell is disillusioned by politicians on both sides of the House of Commons.
"I think a healthy opposition is a good thing, but to be honest I think their focus has shifted and nothing happens in parliament anymore.
I am disenchanted with all of them." The Liberal Democrat's spokesperson for small business, Lorely Burt MP, has also got work to do, it would seem.
Just 4% of small-business owners who responded to the FPB's survey knew she was their Lib Dem representative, 30% did not know that and 67% had not even heard of Burt.
When the three went 'head-to-head', however, it was the Tories (Conservatives) who edged out their two main rivals.
27% of respondents thought Prisk would be the best champion of small businesses, while Hodge received just 7% of the vote and Burt 3%.
An overwhelming majority of respondents (63%) voted for the fourth option of 'Other'.
Carson has warned the political parties not to ignore smaller businesses.
"As the conference season begins, this is a timely reminder that a vast number of voters who own smaller businesses are being left out in the cold.
It is time for them to be pushed further up the political agenda." The FPB is holding its first national Small Firms' Summit on 18 October 2006, which will create a unique opportunity for owner-managers and directors of smaller companies to meet each other and consider issues affecting them.
They will be encouraged to explore common problems and aspects of the Government's policies relating to, for example, regulations and red tape.
These views will be heard by major decision-makers and influencers.
The summit will take place at Central Hall, Westminster.
Leader of the Conservative Party, the Rt Hon David Cameron, is the keynote speaker.
Other speakers on the day will include: Dawn Gibbins, Founder and Chairman of Flowcrete and Ambassador to the Department of Trade and Industry (DTI); Jim Hancock, a former political editor for the BBC; Alison Hopkins, managing director for Local Business at Barclays Bank, which is sponsoring the event; Andy Love, chairman of the All-Party Parliamentary Small Business Group; William Sargent, executive chair of the Better Regulation Executive; Gary Titley MEP, leader of Labour Group in European Parliament; Adrian Webster, the creator of the Polar Bear Pirates; and Rosa Wilkinson, managing director of the Small Business Service (DTI).
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