Feeds

More than just snow hurting small biz

Time for Osborne to act, say SMB groups

Secure remote control for conventional and virtual desktops

Yesterday's fall in GDP cannot be blamed on mere bad weather and shows the government must do more for small businesses or risk a double-dip recession, business lobby groups have said.

Yesterday, the Office for National Statistics said the GDP fell by 0.5 per cent in the fourth quarter of 2010, compared to 0.7 per cent growth in the third quarter.

Chancellor George Osborne said there was no way he would change policies because of "one very cold month".

The Federation of Small Business (FSB) said the year had brought nothing but bad news for smaller firms – including VAT rises, fuel duty and negative GDP.

John Walker, national chairman of the FSB, said the government could not just cut its way to growth. He said other countries had cut VAT in some areas, such as construction. Walker wants to see an extension to the National Insurance holiday and action on the manifesto pledge to introduce a fuel stabiliser.

The Forum of Private Business blamed slow movement on bank reform – notably their continued refusal to lend to small companies on an affordable basis and failure to act on late payments – which it said was doing more damage to the UK economy than snow.

Alex Jackman, senior policy adviser at the FPB, said the cold winter had had an impact but warned that "still not enough has been done to remove the shackles created by tax, red tape and the continued lack of affordable funding preventing SMEs from growing, creating jobs lost in the public sector and driving real, sustained economic recovery".

The complaints mirror remarks earlier this week from big business lobby group the CBI calling for government action to get the economy back on track... The group warned that the coalition had failed to show any imagination or vision for the UK economy beyond engaging in an orgy of spending cuts.

More on small business reaction to GDP numbers here. ®

Security for virtualized datacentres

More from The Register

next story
Facebook pays INFINITELY MORE UK corp tax than in 2012
Thanks for the £3k, Zuck. Doh! you're IN CREDIT. Guess not
Big Content outs piracy hotbeds: São Paulo, Beijing ... TORONTO?
MPAA calls Canadians a bunch of bootlegging movie thieves
Google Glassholes are UNDATEABLE – HP exec
You need an emotional connection, says touchy-feely MD... We can do that
Lawyers mobilise angry mob against Apple over alleged 2011 Macbook Pro crapness
We suffered 'random bouts of graphical distortion' - fanbois
Just don't blame Bono! Apple iTunes music sales PLUMMET
Cupertino revenue hit by cheapo downloads, says report
US court SHUTS DOWN 'scammers posing as Microsoft, Facebook support staff'
Netizens allegedly duped into paying for bogus tech advice
Feds seek potential 'second Snowden' gov doc leaker – report
Hang on, Ed wasn't here when we compiled THIS document
prev story

Whitepapers

Cloud and hybrid-cloud data protection for VMware
Learn how quick and easy it is to configure backups and perform restores for VMware environments.
Getting started with customer-focused identity management
Learn why identity is a fundamental requirement to digital growth, and how without it there is no way to identify and engage customers in a meaningful way.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
New hybrid storage solutions
Tackling data challenges through emerging hybrid storage solutions that enable optimum database performance whilst managing costs and increasingly large data stores.
Website security in corporate America
Find out how you rank among other IT managers testing your website's vulnerabilities.