Company Formation Owners Slam Tax Plans

You can’t turn on the television, pick up a newspaper or listen to the radio, without being confronted with some form of Labour or Tory policy declaring to help the small business sector. However, what as to what extent these policies will practically help small businesses, the jury is still out.

A recent survey, conducted by the BCC, asked over 4,000 small business owners which tax burden they felt would hinder growth in 2011 and if they felt the government were listening to their feedback.

An overwhelming 66% per cent said they felt that both the Labour and the Conservative party had failed to adequately address the real issues affecting small business and over 35% thought that government’s plan to increase the rate of National Insurance would be significantly damaging to the SME sector and hinder the growth of small businesses in 2011.

BCC director of enterprise Mark Campbell comments; “The government’s plans to raise National Insurance, is not only damaging to the SME sector, but also extremely short-sighted. Raising National Insurance means that small businesses will be deterred from employing new people and ultimately result in a decrease in tax revenue in the future.”