Businesses are in buoyant mood ahead of the Chancellor’s final Budget next week with more than two thirds optimistic about their prospects for the next three years, a Sage study has found.
The Sage Small Business Panel, which spoke to 427 senior small business decision makers, also gave a resounding thumbs-up for George Osborne’s handling of the economy with the majority (41%) describing themselves as ‘impressed’ compared to the 23 per cent ‘unimpressed’.
When asked: ‘Who do you have most confidence in to continue to grow Britain’s economy over the next five years?’ 69 per cent answered George Osborne, 13 per cent said Vince Cable, and 8 per cent said Ed Balls. Nigel Farage attracted 6 per cent of the votes, and Labour’s Chuka Umunna 4 per cent.
The survey also found businesses overwhelmingly prioritise superfast broadband infrastructure over High Speed Rail, with 90 per cent saying broadband would provide the biggest boost to small businesses out of the two options.
Reductions in business taxes are also high on the agenda for small firms. Sage asked small business owners what a future Government can do to make their lives easier, and a reduction in corporation tax was favoured by 45 per cent, while 41 per cent asked for a cut in VAT.
With cutting red tape always a common theme, 56 per cent said they wanted no more additional legislative changes similar to workplace pensions Auto Enrolment and PAYE Real Time Information.
Lee Perkins, Managing Director Sage UK and Ireland, said: “With an estimated 5 million small firms in the UK, there is a great opportunity for politicians to pick up winning votes if they can demonstrate their party will make life better for British business.
“With polling day on the horizon, firms will be keen to hear of any freebies with taxes and cutting the cost of doing business near the top of their wish list.
“It’s also clear businesses favour Government investment in broadband and digital infrastructure over High Speed Rail. There needs to be a greater focus on improving connectivity for small businesses to help the country achieve its full digital potential.”