With the General Election looming ahead of us I’m sure many small businesses are asking themselves – can any of the political parties help us out of this difficult, economic slump we’ve found ourselves in?
Ok, the recession is over but, with the amount of problems still arising, how can we be sure that we’re not going going to slip back into it? Simply put – we can’t be sure, no matter how many analysts and economists tell us that its all going to get better.
Lets take a look at the most recent problems:
Rising petrol prices – inevitably affecting businesses that rely heavily on logistics and travel. With so many small business groups telling the government that they need to aid UK business to encourage economic growth, and then they go ahead and increase tax on fuel.
The rise in VAT – again, why put VAT back up to pre-recession levels – affecting consumer confidence and spending? Surely it would have made sense to leave VAT at 15% to encourage customers to spend, not save?!
When coupled with increasing taxes on alcohol, cost of commercial rent, unemployment and the promise to increase National Insurance contributions is it really any wonder that inflation is growing and the nation continues to suffer?
A reported 3.4% inflation last month was well above safe levels and with the lead up to the General Election on May 6th this is only likely to get worse.
Unless the leading political parties propose real solutions and suggest ways to resolve these problems the threat of a hung election grows more and more realistic. Is it any wonder that many British business owners are threatening to move their companies abroad?