FSB lays out manifesto putting small firms at heart of recovery

A BODY representing small businesses has issued its manifesto ahead of the May Scottish election, calling on the government to put them at the heart of its economic recovery effort.

Small businesses should be given more support by Holyrood to help them create jobs and lead the country back to growth, according to the Federation of Small Businesses (FSB). Its Scottish parliament election manifesto, launched today, claims that given better regulatory, financial and planning support, the country's small firms can create jobs and propel the economic recovery.

The report - The journey back - how small businesses can drive the recovery - sets out a raft of recommendations aimed at helping Scotland's small enterprises boost activity.

Among the proposals, the FSB, which has 20,000 members in Scotland, wants the operator of the ScotRail franchise to be contractually obliged to ensure that reliable 3G mobile phone coverage and free wi-fi is available on all of the network's key commercial rail routes. And it wants the Scottish Government and the Scotland Office to work together to ensure effective and co-ordinated government intervention on next-generation broadband roll-out.

The manifesto also proposes the establishment of a new Scottish financial intermediary scheme responsible for identifying and tackling problems in the small business lending market.

Andy Willox, Scottish policy convener for the FSB, said: "The coming Scottish Parliament election campaign will see the economy, jobs and enterprise put front and centre. It is a great opportunity to debate in detail how we can help Scotland's small businesses do what they do best - create jobs, revenues and economic activity."

Other recommendations include closer Scottish government monitoring of its primary subcontractors to ensure that smaller subcontractors on public works are paid on time.

The government should also commit to giving small businesses a fair share of public contracts. The FSB proposes a study into how the aggregation of contracts affects the supply chain, local communities and the wider economy.

And it wants self-employed business owners considering taking on new staff to be given access to impartial advice on the recruitment process. It said last week that small businesses in Scotland have created 67,000 jobs over the past ten years, compared with the 34,000 jobs shed by firms with 250 employees or more over the same period.

Willox said Scotland's small businesses were the country's prime job creators.

"Despite everything which has come our way in recent years, Scottish small businesses still employ some 800,000 people - with no looming threats of relocation if they don't get their own way."The small business community is the business community and we hope that our politicians will work with the FSB to see some these ideas developed."

THE FSB'S RECOMMENDATIONS

• Establish financial intermediary scheme in Scotland to address problems with lenders

• Make Scottish Government contractors pay subcontractors on time

• Provide targeted support for self-employed business owners who want to hire employees

• Reliable 3G mobile phone coverage and free wi-fi on all key commercial rail routes