The new coalition government has published their Coalition Agreement. It is difficult to see what measures remain in place to support SMEs.
The agreement does, however, include the following:
* Cancelling some backdated demands for business rates;
* Generous CGT exemptions for entrepreneurial business;
* Ensuring that the flow of credit to viable SMEs will be a core priority, including:
* A major loan guarantee scheme; and
* Setting lending targets for nationalised banks.
The agreement makes no reference to other measures in the Conservative and Liberal Democrat manifestos. I hope this does not mean they have been abandoned. It is of concern that the new government does not seem to think they are such a priority as to be included in the agreement.
These include important measures such as:
* Putting 25% of State research and procurement contracts out to SMEs; and
* Reducing red tape by introducing a “one in one out” policy and sunset clauses.
However, as the "one in one out" red tape policy was common to both parties’ manifestos, maybe it is still on the agenda.
Vince Cable has been appointed the new Business Secretary. What would you like him to do for SMEs?
Gary Cousins
Business Solicitor
This blog is not intended to constitute legal advice, nor is it intended to be a complete and authoritative statement of the law, and what we say might be out of date by the time you read it. You should always seek legal advice to confirm whether or how any information in this article applies to your particular situation. We offer a free telephone consultation to discuss your particular circumstances.