The finance investment will include Start-Up Loans, which the UK Government says, will aim to ‘inspire the next generation of Welsh entrepreneurs and small business owners’
Secretary of State for Wales, Jo Stevens, says the investment will aim to “create jobs, drive growth and put more money in people’s pockets.”Author: George SymondsPublished 2 hours ago
The UK Government is announcing £4 billion worth of investment into small and medium sized businesses.
Small and medium-sized firms employ 60% of the UK’s workforce (62% in Wales) and generate £2.8 trillion in turnover.
The UK Government’s Small Business Plan will aim to make it easier to start and grow a business.
The Government says
“Late payments are one of the biggest barriers to small business growth —causing cashflow problems that stop firms from scaling up and investing in their future. Every day, hardworking businesses close their doors because they aren’t paid on time.”
Across the UK, late payments cost the economy £11bn annually and close 38 businesses daily.
“The UK Government will work with the Welsh Government in the development and delivery of final late payments measures to ensure Welsh businesses have the same protections as those in other parts of the UK.”
Prime Minister Keir Starmer said:
“From builders and electricians to freelance designers and manufacturers—too many hardworking people are being forced to spend precious hours chasing payments instead of doing what they do best – growing their businesses.
“It’s unfair, it’s exhausting, and it’s holding Britain back. So, our message is clear: it’s time to pay up.
Sir Kier Starmer: “Our message is clear: it’s time to pay up. “
“Through our Small Business plan, we’re not only tackling the scourge of late payments once and for all, but we’re giving small business owners the backing and stability they need for their business to thrive, driving growth across the country through our Plan for Change.”
Secretary of State for Wales Jo Stevens said:
“Small and medium-sized businesses are at the heart of local communities the length and breadth of Wales. They deserve our support which is why we are taking these major steps to help them succeed.
“Our new plan for small and medium-sized business is a key part of our Plan for Change. It will help create and grow companies right across the UK, creating jobs, driving growth and putting more money in people’s pockets.”
FSB Wales: “It’s good to see stated ambition for businesses within this plan.”
John Hurst, Chair of FSB Wales, said:
“Smaller businesses are pivotal to the opportunity to grow the Welsh economy and create prosperity throughout every part of Wales. That’s why it’s good to see stated ambition for those businesses within this plan, not only in addressing some of the barriers which impede business growth – such as tackling the problem of late payment – but also by creating a positive prospectus for growing an enterprising culture in Wales.
“For success, this plan requires us to draw on partnerships in Wales and we look forward to continuing to work closely with the Secretary of State for Wales and government colleagues in the implementation of the new strategy.”
The measures are set to give stronger powers to the Small Business Commissioner to allow them to wield fines against bigger firms who choose to pay their suppliers late.