Prospective Winchester MP Steve Brine has backed new Conservative proposals to help struggling local firms.
Prospective Winchester MP Steve Brine has backed new Conservative proposals to help struggling local firms suffering from the credit crunch and economic downturn.
Many small businesses have either had their overdrafts withdrawn, their interest rates hiked above 15% or their loans called in by hard-pressed banks. Problems have been made worse by HM Revenue and Customs’ aggressive behaviour which can drive small businesses over the edge with tax demands.
Steve Brine said; “Small shops and businesses in Winchester and its surrounding towns and villages are facing tough times because of the credit crunch. We have seen several close in town in the past few weeks and the local unemployment rate is creeping up as a result.
“These small firms are the lifeblood of our community and the local economy. A responsible government needs to do more to help them which is why the Conservatives are calling for a council tax freeze for local residents as well as a package of measures to help local firms, including cutting their business taxes and helping their cashflow. Action is needed to save jobs and businesses during these very difficult economic times.”
Steve Brine made clear what Conservatives are calling for:
- Small and medium-sized businesses to be allowed to defer their VAT bills, for up to six months. A typical firm could save £12,000 a year as a result, and improve its cash flow – which is so vital.
- Employers’ National Insurance to be cut by one per cent for all businesses with fewer than five employees. A small business with four employees and an annual wage bill of £150,000 would save more than £100 a month. Gordon Brown, when Chancellor, increased the rate of National Insurance, hitting businesses and jobs.
- Small business corporation tax rate to be cut from 22p to 20p.
- Action to raise awareness of small business rate relief to encourage more firms to claim it, and so save up to £1,100 a year in business rates.
Steve also flagged up a new initiative to help small firms, an online tool for businesses which allows business to see if they are eligible for small business rate relief available at: www.conservatives.com/smallshops/
