Business owners see Thursday’s election as an opportunity to change Britain’s enterprise culture for the better, with one in five intending to vote for the party they hope will manage the economy most effectively, according to new research from the Forum of Private Business.
But many fear their businesses could suffer because of the uncertainty created by unclear tax plans, the threat that spending cuts will jeopardise public sector opportunities and the possibility of a hung parliament.
According to the Forum’s latest Economy Watch member panel survey, 55% of respondents view the public vote as a platform on which to highlight the issues facing their businesses. Those mentioned most frequently were red tape, economic management and the tax burden.
However, 14% of the small businesses surveyed feel threatened by the looming election because of the uncertainty they believe it could create, with many citing a lack of detail on tax plans from the main political parties and possibility of a hung parliament as the main reasons for this uncertainty.
In addition, with spending cuts inevitable in order to plug the gap in public finances, the election is viewed as a threat by businesses who undertake a significant proportion of work in the public sector.
“Small business owners are generally confident that the election can be used to highlight their concerns and usher in economic change. However, many feel threatened by the uncertainty caused by a lack of defined policies on tax and red tape as well as threats to public procurement in the wake of anticipated spending cuts and the possibility of a hung parliament,” said the Forum’s policy representative Matt Goodman.
“Entrepreneurs want better support, a clearer tax regime – including a reversal in the planned National Insurance rise – prompt payment and less red tape, although there is some scepticism about the delivery of this last measure.”
