Small businesses – such as those using serviced offices in Cardiff – will play a vital part in restoring the economic health of the UK, it has been argued.
John Walker, national chairman of the Federation of Small Businesses (FSB), said a Small Business Programme for Growth initiative has to be implemented by the government immediately so they can help boost the country's financial situation.
While companies realise the necessity of the cuts that have been announced by the coalition, small firms will help to tackle unemployment by taking on more staff, he stated.
Therefore, it is vital enterprises are given the confidence to offer work to the 500,000 individuals that face redundancy following the induction of the measures, Mr Walker noted.
The government can help to promote growth and business will be encouraged to employ more people by "extending the National Insurance Contribution holiday to existing firms and cutting VAT to five per cent in the construction sector", he added.
Earlier this month, Mr Walker observed a string of new measures announced by the Bank Taskforce would allow small companies a better idea of what to expect when it goes to a bank for finance.
