New data from SME funder Bibby Financial Services (BFS) has revealed that small to medium-sized businesses (SMEs) in the UK have lost confidence in the Government’s commitment to support them.
The survey of 500 SMEs across the UK found that four in five respondents (80%) did not believe the government was providing enough support for SMEs.
With the Spring Budget looming, two-thirds (67%) of SMEs were not confident that the Chancellor’s Spring Budget would deliver the support their business needs.
This figure represents a decline in businesses’ confidence in the Government since Autumn 2022, when 62% of small to medium-sized businesses reported that they were not confident that the Autumn Budget would deliver the support they needed.
Of note, female business leaders feel less supported by the government than their male counterparts. 85% of female respondents do not think the government is providing enough support for SMEs, compared to 77% male respondents, whilst 72% of female respondents are not confident that the Chancellor’s Spring Budget will deliver the support their business needs, compared to 62% of male respondents.
Jonathan Andrew, CEO of Bibby Financial Services, said: “SMEs feel underrated, undervalued, under-supported. So, in this budget, we want to see better support and policy that matches SME’s resilience and ambition.” He added, “As the Government ‘goes for growth,’ those SMEs that are sufficiently equipped to build resilience and invest in their futures will play a vital role in driving the UK’s economic recovery.”
Andrew suggested that education is key, and the government should guide businesses to existing resources and initiatives that are currently underutilised, such as the Bank Referral Scheme. Secondly, the Government could take more effective steps to alleviate the burden for hardworking small businesses by pulling the levers of central and local taxation, such as business rates, and by extending the pay-back period on Covid loans.
In summary, SMEs are not confident that the Government will deliver the necessary support for their businesses in the upcoming Spring Budget.
Female business leaders feel even less supported by the government than their male counterparts. Bibby Financial Services CEO, Jonathan Andrew, calls for better support and policies that match SME’s resilience and ambition, with education key and the government taking more effective steps to alleviate the burden for hardworking small businesses.
