Today Crawley MP, Henry Smith, welcomed the Government’s efforts to engage with small business and to address their core concerns by publishing legislation for a £2,000 National Insurance cut for small businesses and announcing changes to small business prompt payment rules.

Henry commented:

“Small businesses are the lifeblood of our economy and so it’s right that this Government remains firmly on the side of the hardworking people and entrepreneurs who run them.

“Having proactively engaged with small businesses across the country and listened to the factors that restrict them from growing and taking on new staff, I’m delighted that the Government has today responded by enacting a tax off jobs.

“As a result of the difficult decisions that have been taken to reduce the national deficit by a third, the Government can afford to cut employer National Insurance by up to £2,000 for every business from April next year. 450,000 businesses will pay no employer National Insurance at all.

“Direct government spend with small and medium-sized enterprises (SMEs) has increased from 6.5 to 10.5 per cent since under Labour and a further indirect spend through the supply chain of 9.4 per cent.”

Over 90 per cent of firms benefiting from the tax cut will be small businesses with fewer than 50 employees. Ministers are also announcing changes to the Prompt Payment Code so that small businesses are paid on time by the bigger firms they supply.

In addition, last month Henry welcomed efforts by neighbouring Horsham MP, Francis Maude, within the Cabinet Office to reform government procurement and in ensuring a level playing field for SMEs.  Henry urge local small businesses to use the government’s Contracts Finder, which offers a one-stop online list of all procurement opportunities, tender documents and contracts over £10,000.

Follow Henry daily via: www.facebook.com/henrysmithmp; http://www.youtube.com/user/HenrySmithMP; or www.henrysmith.info.