Prime Minister and Disappoint Small and Medium Sized Companies once More
Numerous business owners including myself were upset with the Pre Budget speech .
I had hoped that Alistair Darling would have grasped the nettle and addressed the important matters such as the current bad state of the public purse, Public sector Pay increases, providing support to small companies, encouraging saving and investing and making the banks to be realistic about lending to business organisations.
Like most company directors I agree that we need to have a combined approach of tax in addition to spending cuts cuts.
The old line of reasoning from government ministers is that instant would hurt our economy and strangle the recovery. My view is that although wholesale quick cuts could cause a problem, the timescales projected is just a little too late.
It seems that the Chancellor is just tinkering around the edges of any reform and does not want to rock the boat too much an election.
The upshot of raising public borrowing can be seen when you look at the Eire Economic System. The once Celtic tiger has had its claws . On-going cuts in pay are a realism along with swathing measures to bring down public borrowing.
I virtually choked on my dinner on wednesday, whilst watching the six o clock news. Local Government employees were about a limit on salary increases of 1%.
I would be in that situation, as opposed to being a worker for the Public sector in Ireland.
Many small business directors have actually taken pay reductions in the last year, due to the UK recession and slowdown.
As ifa’s we offer a Small Business Advice service to our clients on a daily basis. I would have loved to see a more basic approach to helping SME businesses as they are an crucial part of the economy.
