According to the leader of the opposition, David Cameron, company formation in the UK is one of the most laborious and time consuming processes in the world, which presents many barriers to entrepreneurialism in this country and if his party was to come into power at the next general election it would be one of the main things they would seek to change.
Cameron made this statement on the Andrew Marr show and his opinion has been supported by a recent report, which suggests that 10% of all entrepreneurs in the UK are considering forming a company and operating it abroad, as a consequence of increasing taxes and employment legislation.
According to the report, which surveyed over 3,000 business owners, over 30% of respondents felt that the UK offered an inhospitable environment in which to form and run a company. While 30% feel that other countries offer more support and financial incentives for the budding entrepreneur.
Oliver Kelly, managing director of ‘I Media UK’ comments; “On the whole, I would agree with the findings of the report. I have run companies in many different companies and must admit that the bureaucratic red tape and legislative hoops one has to jump through in the UK are the most excessive I have ever experienced. However, I do not agree with Cameron’s contention that company formation in the UK is difficult, especially with the new changes to the Memorandum of Article that came in in October last year, which has made company formation online even easier.”