Next Budget 'should simplify tax system' for small firms

The country's tax system should be simplified in the next Budget, according to one expert, in order to support smaller scale businesses.

Sara Lee, a spokesperson for the Federation of Small Businesses (FSB), believes that it also vital that companies are given more opportunities to gain access to credit.

She said: "Access to financial credit would be of the greatest benefit.

"SMEs [small and medium-sized enterprises] are looking at cash flow and taking more staff on. In the recovery phase, they will need to borrow to do that."

Meanwhile, the previous government's plans to create a Small Business Credit Adjudicator may have been a step in the right direction, Ms Lee feels.

Such a body would enable firms, which might include UK contractors, to appeal lending decisions, the expert suggested.

The FSB last week noted that proposed government plans to set up a national loan guarantee scheme may prove beneficial.

Posted by Susie Cho.ADNFCR-2349-ID-19788530-ADNFCR

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