BCC calls for a Year for Growth in 2011

In the face of public sector cuts, continued global uncertainty, and rising inflation, ensuring the health of UK businesses is critical to economic recovery. The British Chambers of Commerce (BCC) will help to make 2011 a Year for Growth for businesses, to make the UK’s recovery certain and sustainable.

In his New Year message, David Frost, Director-General of the British Chambers of Commerce, set out the BCC’s recommendations for ensuring 2011 is a year for businesses to hire staff, expand premises, access the finance they need, and export successfully.

“UK businesses have witnessed some of the toughest years in recent memory. But we can no longer afford to talk down our economic prospects. Our country needs stronger companies, more new start-ups and more employment. While all signs point to our economy recovering, we need to take action now for it to continue. Next year we will feel the full impact of the public sector cuts, coupled with the VAT increase. Only growth in the private sector will ensure that the UK’s prospects recover.

“In 2011, the government must ensure all policy decisions are pro-business, tackling the obstacles that prevent small- and medium-sized companies from getting ahead. We need a year where costly regulatory barriers are removed, where companies are given real incentives to expand, and where businesspeople are encouraged to take risks – especially in new and growing markets.

“Helping businesses make 2011 a Year for Growth depends on local councils, Government departments, and European institutions working together with businesses to restore confidence to the small- and medium-sized companies that will drive Britain’s future growth.”

“Making 2011 a Year for Growth will deliver real results in every city and town across the UK – with stronger companies, more new businesses and more employment. The BCC will work with the Chamber of Commerce Network to collect evidence on the real obstacles to growth, develop constructive policy solutions, and seek out new ways for businesses to help other businesses.”

Additional comment from David Frost on the four key areas the BCC believes must be addressed to ensure 2011 is a Year for Growth for business:

Making Recruitment Easier 

  “We must make it easier for companies, whether start-ups, medium-sized family businesses or multinational firms, to take on staff throughout the UK. Stripping out employment regulation that makes this difficult for firms must remain a priority.”

Increasing Business Investment

 “For the past three years, business has been reticent to seek out new finance to help them grow but this confidence must be restored. Businesses seeking to invest in people, machinery, premises and new ideas must be supported by Government and financial institutions.”

Supporting British Exporters 

  “The UK must rediscover its trading spirit, and make 2011 a year for exports. Concrete Government action has to support new exporters, encourage seasoned firms to enter new markets, and facilitate critical trade finance flows which have stopped many companies from reaching their export potential.”

Simpler, Faster Planning Decisions

 “Simplifying planning and development control is a pre-requisite for growth. Ministers must privilege business expansion rather than stifle its prospects by allowing entrenched interests or the anti-growth lobby to block progress. We challenge the Government to adopt an approach to planning that delivers speed, certainty and clarity, to underpin recovery and future economic growth.”