- New AXA UK research shows overwhelming support for small businesses from the British public
- More than three quarters of those polled want to see more small businesses in their local area
- 77 per cent say SMEs deserve additional support from the government and local authorities
New research by AXA UK shows the British public firmly backs small businesses, with more than three quarters of those polled saying they’d like to see more in their local area and 77 per cent calling for additional support from the government and local authorities.
The research, which comes against the backdrop of last month’s Budget, polled 2000 adults across the UK. It found overwhelming support for small businesses at a time when they’re being squeezed by the employer’s National Insurance Contribution hike and other financial pressures.
Low business rates, slashing energy bills and reducing corporation tax are the key measures Brits want to see implemented. Reducing red tape (41 per cent), simplifying the tax code (35 per cent) and lowering National Insurance Contributions (34 per cent) are other ways people think would help small businesses and their high streets.
More than three quarters (77 per cent) want to see more small businesses open in their local area – with bakeries (53 per cent), farm shops and greengrocers (both 41 per cent) the independently-owned businesses people most want in their own area.
Almost half (46 per cent) of those polled feel small businesses deserve additional funding – and 88 per cent think they’re important to a vibrant local community.
Almost half (44 per cent) think slashing energy bills would be beneficial, while six in 10 said lowering business rates would make a difference.
A handful of measures in last month’s Budget offered some respite for small businesses, such as permanently lowering business rates for smaller properties in retail, hospitality and leisure. However, the two per cent increase in dividend tax will impact many small business owners who pay themselves through dividends.
It’s great to see there is so much public support for small businesses and to know people are keen to help them through tough economic times.
Small businesses are the backbone of the UK economy, making up more than 99 per cent of all UK businesses, so it’s important they receive support to grow and flourish.
When small businesses flourish, our high streets and local communities feel the benefit. People value their local communities so implementing measures to support small businesses is a positive step.
Almost two thirds (65 per cent) of all adults polled feel high streets in the UK have generally declined in recent years.
They primarily blame competition from online marketplaces like Amazon and eBay (66 per cent), as well as the cost-of-living crisis (63 per cent) and high business rates (62 per cent).
Almost three-quarters (70 per cent) believe small businesses create jobs in the local community while 48 per cent think they encourage entrepreneurship.
More than six in 10 (62 per cent) think small businesses make the area more attractive and liveable, and 57 per cent feel they add character.
With Christmas festivities in full swing, Londoners are the most likely to shop more at small businesses during the festive period (59 per cent), with Scottish shoppers second (52 per cent).
Those in the Southwest are less supportive, with only 26 per cent saying they shop more with small businesses during the Christmas period.
It’s undoubtedly a challenging environment for small businesses at the moment. But it’s clear from this research that people are hoping the government and local councils will do more to help them.
A vibrant and thriving local business community is a real asset to any town and it’s up to everyone, from consumers to those in power, to make sure they survive in troubled times.
AXA UK has released a report detailing what help Brits think small businesses need to thrive. AXA UK Small Business Report: Public Opinion and Consumer Confidence can be found here.
KEY SUPPORT THE PUBLIC THINKS SMALL BUSINESSES SHOULD RECEIVE:
- Lowering business rates
- Slashing energy bills
- Lowering corporation tax (the tax businesses pay on profits)
- Reducing red tape (unnecessary regulations and paperwork)
- Simplifying tax so it’s easier to understand
- Lowering National Insurance Contributions
- Offering grants to help businesses become more eco-friendly
- Providing free advertising space to raise awareness of local businesses
- Offering better rates on loans
- Taxing foreign businesses the same as UK businesses