August 27, 2020

SME Policy Pitch

August 27, 2020/ Guest User

As the Secretariat for the APPG for Entrepreneurship, The Entrepreneurs Network is hosting a series of webinars to bring Parliamentarians and leading business owners together to explore what the future holds for start-ups and scale-ups post-COVID-19.

In our latest APPG for Entrepreneurship session, we heard from a panel of small business experts who pitched their policy ideas to Small Business Minister, Paul Scully MP on how to support the economic recovery for the UK’s SMEs.

This session coincided with the launch of Upgrade, a new research report from The Entrepreneurs Network, commissioned by Xero on closing the digital gap and lifting productivity for SMEs.

We heard an update from Small Business Minister, Paul Scully MP. We then heard pithy policy pitches from small business experts including Sam Dumitriu, Research Director at The Entrepreneurs Network, Irene Graham, CEO at The ScaleUp Institute, Gary Turner, Co-Founder of Xero UK and Dom Hallas, Executive Director of Coadec.

Here are some of the most thought-provoking insights from the session. You can view this on our YouTube channel.

Highlights & Insights from our Speakers

In his opening remarks, Paul Scully MP touched on the acute impact that lockdown has had on SMEs:

“76% of SMEs have seen a reduction in productivity of at least 13% and a significant decline in sales. 67% of SMEs have made less than 75% of their normal sales”

He also talked about some of the conversations which have been accelerated by COVID-19 including flexible working and digital take-up:

“We recognise the importance of rapidly improving utilisation and increasing adoption of technologies”

In the first policy pitch, Sam Dumintriu spoke about the digital revolution which has occurred since he started writing Upgrade. He started with startling statistics on the positive impact of digital take-up, not only for SME productivity but also the UK economy:

“If the UK was able to double micro-business uptake of key digital take including customer relationship management software, web-based accounting and cloud computing it would lead to a £16 billion boost to GDP”

He finished with some recommendations on how we could encourage SMEs to make the most of new technologies to improve their productivity:

“Businesses don't trust civil servants for advice on how to run their businesses. They fundamentally only really trust other business owners. Where possible the government should outsource advice to trusted business groups and fund that with support”

Xero UK’s Gary Turner stressed the importance of technology as a critical tool to help SMEs operate and plan for future disruptions:

“[COVID-19] has shown us that companies can put digital delivery at the core and will fare better in more circumstances when they do. Technology is a critical tool to help firms get, sell and operate online to be ready for future disruptions”

During his pitch, he made some key recommendations to help SMEs bounce back, including improving their financial situation, making it easier to access finance and closing the skills gap:

“As the economy reopens and small firms look to rebuild. I believe that we must close the digital divide to help small firms bounce back more quickly”

Dom Hallas spoke about a survey Coadec conducted on R&D credits and discussed how a similar financial bonus could be used as a lever by the government to drive adoption of new technology:

“69% of tech start-ups we surveyed said that R&D tax credits were an important part of their cash flow and survival”

He pitched a tax credit for SMEs who use technologies that have been proven to increase productivity:

“If providers could prove that [a] technology solution genuinely improved productivity… they would be eligible for a tax credit”

In the final policy pitch Irene Graham of the Scale-Up Institute spoke about the importance of peer-to-peer networks and opening up data to help connect SMEs to the broad initiatives that government and the private sector have:

“We have run some really interesting pilots using the data that HMRC have in really targeting and connecting businesses into what is available”

Questions & Recommendations

During the Q&A session, we touched on a range of key issues.

One attendee spoke about the challenges that the self-employed have faced accessing support schemes during COVID-19 and asked Paul Scully MP what the government is doing to address these gaps?

Paul Scully MP spoke about some of the government support schemes that have been designed to support the self-employed, including the Bounce Back Loan scheme, and addressed concerns that the self-employed are falling through the cracks. He reassured the audience that the government is aware of these issues.

Another attendee spoke about data transparency in the US for loans that have been taken out during COVID-19 and asked whether the UK could embrace the same level of transparency?

Paul Scully MP noted that the British Business Bank hasn’t been advised as of yet to release data on the businesses that have taken out Bounce Back loans but that they are looking at ways they can share this information.

Irene Graham added to this, speaking about the opportunity to use data to create more transparency on Bounce Back loan lending and the opportunity to also look at ways this could be done in the future in other sectors.

Gary Turner spoke about the importance of improving and enriching data from a capital perspective. He addressed some of the issues that SMEs have faced during COVID-19, including applying for Bounce Back loans with outdated records. He stressed that open data is an important part of the journey to enriching company data.

One attendee asked how the government could address the issues that SMEs face tendering or obtaining contracts to sell their products and services to government funded services, like the NHS.

Paul Scully MP spoke about the government's plans to address these concerns.

“In terms of government procurement, we are trying to make it easier for SMEs to access government contracts and government tendering”

Irene Graham responded speaking about how data could be used by government-funded services, like the HMRC to pinpoint SMEs that would be best placed to address and provide their goods or services.

An attendee queried whether universities could be doing more to educate and support SME owners on using technology to improve their businesses.

Paul Scully MP agreed that it would be great to embed these types of programmes in universities. He spoke about initiatives like BeTheBusiness and suggested that advice could be filtered through Growth Hubs to link up with universities and SMEs better.

Sam Dumintriu spoke about a study which identified the value of doing a health check on your business. He suggested that it could be valuable for people like accountants to give more support to business owners to identify potential opportunities and improve productivity.

One attendee asked how young tech-savvy people could be connected to SME owners to help improve their productivity.

Gary Turner suggested that there should be initiatives to connect unemployed tech-savvy people with SMEs to help manage their online activities.

Sam Dumintriu agreed that it is important to support these initiatives and gave an example of a project being funded by Nominet, which was identified in Upgrade, that pays young people who are out of work to do short-courses and have placements with SMEs.

Another attendee touched on the previous question and asked what kind of hubs were out there to connect SMEs with young people.

Paul Scully MP spoke about the importance of ensuring that government-sponsored hubs provide SMEs with quality advice:

“My challenge that I have set myself is to make sure that business advice and support on digital is consistent across the 38 Growth Hubs”

The speakers finished with some closing remarks. In his closing remarks, Gary Turner stressed the importance of improving SME productivity to create future job opportunities:

“Future employment is not going to come from big business or government, it is going to come from the SME community”

We will have more APPG for Entrepreneurship webinars coming up after recess. If you are interested in finding out about these, you can sign up here.

August 11, 2020

Supporting Local Economic Growth

August 11, 2020/ Guest User

In our latest APPG for Entrepreneurship session on Supporting Local Economic Growth, we heard from an expert panel of speakers about what is being done in the face of COVID-19 to support local economic growth and what can be done to ensure an entrepreneur-led recovery across the UK.

We heard from Gagan Mohindra, Conservative MP for South West Hertfordshire. We also heard from Chairman of the Hertfordshire LEP and the LEP Network, Mark Bretton, and Head of Data at ODILeeds, Co-founder of TheDataCity.com and Founder of imactive, Tom Forth.

Here are some of the most thought-provoking insights from the session. You can view this on our YouTube channel.

Highlights & Insights from our Speakers

In his opening remarks, Gagan Mohindra MP welcomed Rishi Sunak’s recent statement, highlighting the announced reduction in VAT for the hospitality sector. He suggested that policy makers play an important role in creating an environment that allows businesses to flourish:

“The most important thing that I, as a politician can be judged on is the impact that I can make through policy within your life.”

Mark Bretton then spoke about the LEP Network and the feedback they have provided to Government during the COVID-19 pandemic to support local business:

“We have been very careful to give constructive, but important feedback on all the interventions that have been made to ensure that they are relevant. Where there have been gaps in schemes that we believe we can find a resolution to fill, we have been doing that.”

He also addressed the interventions that have been put in place by the LEP Network at the local level to support economic growth:

“Every LEP has put together three or four different schemes during the crisis, so over 100 schemes around the country, to make focused interventions to help our businesses.”

Tom Forth mentioned his research and the gap that he has observed between performance in the North and South of the UK:

“The UK’s GDP per capita is the lowest in Northern Europe… but that is not uniformly a low performance. The South East of England is one of the most productive and prosperous regions in Europe. The North of England and the Midlands are among the weakest economies.”

He suggested that the root of the UK’s problem with local economic growth is that government decisions are centralised and predominantly London focused. He also spoke about some of the positives of having a centralised government:

“We are culturally entrepreneurial… that is due to things that support local entrepreneurial activity and growth including a fair legal system, good press, the English language, easy company law, low taxes and low cost of employment”

He finished with some recommendations to drive local economic growth in the UK:

“I think the uneven access to infrastructure, to state research and development funding, and to government support is a big issue… I think that solving that problem involves having a smaller central government”

Mike Jackson from Tech Nation also joined the panel and introduced some of the projects they are running to support economic growth at the local level:

“The real sea change that we have completed at Tech Nation is moving from a London-centric Tech City model… to what we believe is a reflection of the UK tech ecosystem.”

He addressed some of the challenges that Tech Nation have observed in local areas and their plans to work with local ecosystems to share best practice across the UK:

“We do think that national institutions still have a role in democratising access to scarce resources and sharing best practice.”

Questions & Recommendations

During the Q&A session, we touched on a range of key issues.

One attendee asked whether MPs could use LEP Networks to support local businesses in their area?

In response, Gagan suggested that although MPs do not ordinarily get involved within LEP Networks, the correct model could be to move funding closer to local businesses that need it:

“From my experience of local government, politicians can do so much, but we need entrepreneurs, business people and specialists in other fields, like the third sector to take on the mantle and drive it forward.”

Mark argued that there should not be a diversion of effort but rather a rebalancing to ensure that the leveling up agenda is carried forward across the UK.

Another attendee mentioned the Shared Prosperity Fund and asked how important this type of policy is in terms of supporting local economic growth?

Mark suggested that the funding is important as the UK leaves the EU and during this pivotal stage, where LEP Networks are collaborating with local government to support local businesses through the COVID-19 pandemic.

Gagan echoed Mark’s thoughts and touched on the challenges that the Government has faced during the pandemic, including it’s evolving funding plans:

“I can’t guarantee that the Treasury has much money left to fork out [to support LEPs]… but I will continue to fight that corner because I know the value of it.”

In response, Tom suggested that we should look to other countries in Europe, like France, that have schemes which have implemented COVID-19 business support schemes at a regional level:

“This idea that we would have good outcomes from collaboration and uniform funding is really quite bizarrely British.”

An attendee asked whether more money should be available and collected at a local level?

Gagan spoke about his drive to push value for money at a local level during his time as finance lead for a large county council. He took the view that there isn’t an easy answer and reinforced the point that policy makers should focus on creating an environment for entrepreneurs to flourish.

Mark responded by echoing Tom’s thoughts that support efforts should be localised and that clear interventions should be made locally.

One attendee asked how LEPs could be evaluated, specifically whether there were incentives for good LEPs to expand and bad LEPs to change or withdraw and what data LEPs or Local Government should be publishing to make these evaluations easier?

Tom addressed some of the challenges that the LEP face with publishing their data.

Mark added that LEPs are assessed by Whitehall annually on metrics including governance, delivery and their strategic plan. He suggested that LEP objectives should be better aligned with business objectives going forward and best practice sharing should be encouraged:

“I think that what is going to come out of this is a much clearer set of metrics which we use to measure LEPs.”

We will have more APPG for Entrepreneurship webinars coming up after recess. If you are interested in finding out about these, you can sign up here.

August 04, 2020

Supporting Employment in Challenging Times

August 04, 2020/ Guest User

In our latest APPG for Entrepreneurship session on Supporting Employment in Challenging Times, we heard from an expert panel of speakers about the latest legislation and schemes designed to support employment and considered whether reform might be necessary in light of COVID-19.

We heard from Seema Malhotra, Labour MP for Feltham and Heston, and Shadow Minister for Employment. We were also joined by employment experts including Sharon Tan, Partner in the Employment department at Mishcon de Reya and Julia Rouse, Professor of Entrepreneurship in the Centre for Decent Work and Productivity at Manchester Metropolitan University.

Here are some of the most thought-provoking insights from the session.

Highlights & Insights from our Speakers

Seema Malhotra MP noted the importance of supporting individuals who are losing their jobs due to COVID-19 through the crisis to ensure they are not unemployed in the long-term. She suggested that we should learn from previous downturns but stressed the importance of the government having an innovative, thoughtful, and well-researched response to the unique challenges of the COVID-19 pandemic:

“I’m not going to pretend that this is a challenge that we have all the answers from a roadmap from the past.”

She also spoke about how the COVID-19 crisis has disproportionately impacted certain demographics:

“One area that has emerged very evidently is young people being hit harder by this recession, particularly in the first few months where we saw…. under 35’s being almost 50% of those who were registered as job seekers.”

“We have seen women, single parents, young people, ethnic minorities, the self-employed being harder hit statistically then others in the unemployment figures but also in the loss of income”

She raised the need to reform the employment system to support entrepreneurs.

“I think we need a debate about the advice, legislation, and policy around entrepreneurship so that we are more robust within a social security framework that works in partnership with people and recognises the life cycle that people go through in their employment”

Sharon Tan discussed the important role that entrepreneurs and employers play in avoiding large scale unemployment:

“[The UK] has been at the forefront of innovation and development in recent years and we are going to need to continue in that vein, particularly given Brexit and now the pandemic”

She drew attention to the opportunities that the COVID-19 has created for businesses:

“Disruption inevitably brings with it new opportunities and these new ways of working represent opportunities to develop technical solutions and opportunities in terms of the way employers use their office space”

She also spoke about the ‘red flag’ situations where it may be inappropriate for employers to insist on employees immediately returning to the workplace and the options that fall within the existing employment law framework.

Julia Rouse covered the disproportionate impact that the COVID-19 pandemic has had on the self-employed, despite the government’s efforts to provide them support:

“In total, we estimate that 756,000 self-employed were excluded from the self-employment income support scheme”

She also mentioned the additional challenges that women on maternity leave faced in applying for the Self-Employment Income Support Scheme and how this informed her decision to bring forward plans to form a Women's Enterprise Policy Group:

“The Self-Employment Income Support Scheme maternity blunder signals to us the need for more gender-aware policy making”

She stressed the importance of solutions for the self-employed which reflect their individual circumstances:

“We will have a severely dented generation of startups and that will have serious social and individual consequences”

Questions & Recommendations

During the Q&A session, we touched on a range of key issues.

One attendee asked Seema Malhontra MP what kind of policy levers outside of employment needed to be pulled by the Government to support individuals through the pandemic.

In response, Seema echoed concerns that some groups are receiving generous support while others are being missed by the system. She suggested that reform may be needed:

“[It is] partly a consequence of how tax and economic policy has been developed over generations and how some of that might have to catch up with the changing world of work”

Another attendee asked what more can be done to support entrepreneurs and how we can bridge the skills gap for apprentices.

In response, Julia Rouse spoke about her reservations about a self-employment led approach to unemployment.

“I think we need to be cautious and clever in the way we think about self-employment, more as a skill development process… rather than it all being about business startup ignoring the fact that a lot of these businesses do not thrive”

In response, Sharon Tan suggested that an apprenticeship scheme, like the one Mischon de Reya has recently rolled out, has the potential to be an incredible tool for promoting social mobility.

Seema suggested that there needs to be a more systematic response to supporting entrepreneurship and that LEPs may play an important role in this.

“Employers may have to think a little further than they have before. Where is there an opportunity for them to create more employment opportunities? Because that has got to be a part of making the next period successful for our citizens across the country”

We have a few more APPG for Entrepreneurship webinars coming up in the next few weeks. If you are interested, you can sign up here.

June 11, 2020

Innovation, International Trade and Economic Recovery

June 11, 2020/ Guest User

In our latest APPG for Entrepreneurship session on Innovation, International Trade and Economic Recovery, we heard from parliamentarians and expert speakers on how the start-up community will use new technology and innovation to move forward post lockdown and the opportunities for start-ups looking to export after coronavirus.

We heard from Katherine Fletcher, MP for South Ribble and Andrew Griffith, MP for Arundel & South Downs and former Chief Business Adviser to the Prime Minister. To give an entrepreneurs perspective, Chris Hulatt, co-founder of Octopus and Adviser to The Entrepreneurs Network, joined us.

Here are some of the most thought-provoking insights from the session. You can view this on our YouTube channel.

Highlights & Insights from our Speakers

Katherine Fletcher MP spoke about how the UK can increase the pipeline of businesses adding significant revenues to their business through exports. She suggested that sole traders and SMEs should take advantage of platforms like Etsy which are available to help business owners get their products online, without the huge cost of an IT department.

“The tools that the modern revolution has provided us with, especially in the last five years, allow us to have global access to products with a good front end”

She concluded with a modernised take on Napoleon's depiction of the UK, as a nation of shopkeepers.

“What the Internet and the improved integration of online tools allows us to do is to be a global nation of shopkeepers”

Chris Hulatt spoke about how the coronavirus pandemic has impacted the environment for start-up companies in the UK:

“Consumer and corporate behaviour has changed for good. We have had many years of evolution in the space of ten weeks and I think that is creating opportunities for entrepreneurs to play their part in reshaping the economy”

He suggested that the crisis has accelerated opportunities for entrepreneurs who tend to be more flexible and adaptable:

“Entrepreneurs can move quickly, they can come up with solutions, they can spot opportunities and they can evolve their business models. That nimbleness is going to be so powerful”

He proposed that the Government should rally behind entrepreneurs with policies that support them in order to create more jobs and tackle unemployment:

“At a time when most large companies are going to be focused on cutting costs, it is the high-growth small businesses that we should look to for economic growth”

Andrew Griffith MP spoke about the opportunity that has come from the accelerated adoption of new technology and remote working practices:

“The UK economy needs innovators more than it has ever needed them before. We have already seen more changes in some sectors in six to eight weeks, then you would normally expect to have happened over a couple of years”

He suggested that the coronavirus pandemic has created an opportunity to unlock new markets that were not previously available to the UK:

“Almost alone, we have the opportunity to reset our trading opportunities with the world”

Questions & Recommendations

During the Q&A session, we touched on a range of key issues.

One attendee asked about how we can keep regional partnerships open after Brexit and post-lockdown.

In response Katherine Fletcher MP suggested that the Government is planning on keeping the UK open for business and continuing to trade with its neighbours.

Chris Hulatt added that the UK should be open to expand into other markets, like Asia.

A question was raised about how the UK can attract innovators, entrepreneurs and capital, specifically from Hong Kong.

Andrew Griffith MP suggested that the Government should be both clear in its messages, that talent is welcome to the UK and should be unabashed when speaking about the talent that the UK has.

In response Chris Hulatt suggested that the UK should talk more about the qualities that attract entrepreneurs to the UK.

Katherine Fletcher MP observed when speaking about the UK, we shouldn’t just be focused on London.

“The world is starting to realise that we are four different nations and we do have genuinely different opportunities for international entrepreneurs”

One person asked about when the UK can expect for lockdown restrictions to be lifted, so that individuals can attend events in other countries.

In response Katherine Fletcher MP suggested that guarantees couldn’t be given with regards to international travel. However, she stressed that opening the UK’s borders is important to its economic recovery.

An observation was made about the social distancing rules and how they affect smaller offices and restaurants. The question raised was whether the Government would consider implementing a one metre social distancing rule in London, rather than two metres.

Andrew Griffith MP suggested that there shouldn’t be different approaches taken in different areas.

In response Chris Hulatt suggested that in the future, employers will be more flexible and allow more of their employees to work from home.

“The whole mentality around location is going to be totally different in the future”

A question was raised about what more can be done right now to support small businesses with rapid growth.

Katherine Fletcher MP spoke about how she wants to see the Government assisting UK businesses by being more proactive and creating practical tips to help businesses set up their operations so that they can effectively export their products.

In response Chris Hulatt suggested that it is a good time to be running a business that is flexible and can respond to business needs. He spoke about the growing appetite to work in creative and early stage companies, where individuals feel that they make a difference.

“There will be a deeper pool of talent to hire from”

One person asked what more could be done by the Government to support scaling tech founders in the UK.

Andrew Griffith MP stressed the importance of mentoring. In his view, the Government can do its bit to support tech founders but in practice, most entrepreneurs who have grown and scaled their businesses have benefitted from having a mentor.

A final question was raised about funding to regional areas and what more the Government can do to support businesses in these areas.

Katherine Fletcher MP spoke about how she would like to see the Government take lessons from the coronavirus pandemic and administer funding from digital pots, which aren’t focused on business location.

June 04, 2020

Economy, Technology and Bouncing Back - APPG Webinar

June 04, 2020/ Guest User

In our latest APPG for Entrepreneurship session on the Economy, Technology and Bouncing Back after Coronavirus, we heard from parliamentarians and tax experts on what our economy will look like post-coronavirus, how our business practices will change and the impact that the Government’s exit strategy will have on tax.

We heard from John Penrose, MP for Weston-super-Mare and former Lord Commissioner of HM Treasury, and Rt Hon Baroness Kramer, Liberal Democrat spokesperson for the HM Treasury. To give a perspective from the corporate world, we were joined by Gary Richards, Corporate Tax Partner at Mishcon de Reya, an expert who has advised the government on tax reform.

Here are some of the most thought-provoking insights from the session. You can view this on our YouTube channel.

Highlights & Insights from our Speakers

John Penrose MP spoke about the ‘new normal’ and where our economy is heading post-coronavirus:

“What the lockdown has done is moved all of those trends which were already established and has shunted them forward at a much faster rate than anyone was expecting”.

He spoke of the challenges Rishi Sunak, Chancellor of the Exchequer for the HM Treasury will face post-coronavirus, including balancing day-to-day spending while supporting the UK’s long term economic success:

“[Rishi’s] only answer has to be to change the shape of the tax system. That will probably mean he will have to simplify it, in order to get rid of quite a lot of the existing special loopholes, special programmes and special dispensations that have been given”.

The Rt Hon Baroness Kramer stressed that there is a silver lining to coronavirus which is the opportunity to lean into technology to push the UK faster into the fourth industrial revolution and tackle low productivity:

“There has been an extraordinary advance in the acceptance of new technology and also the use of technology, by a sweeping range of the population”.

She spoke about how it is important for the Government to invest in the opportunities that will underpin the UK’s future economy:

“This to me is the time to invest for recovery. I am concerned that we invest in the businesses of the future”.

She also spoke about her concern about the fiscal position for businesses, how she predicts there will be further redundancies as the Coronavirus Job Retention Scheme tapers off and her concerns about the accessibility of the Future Fund for Angel Investors and individuals:

“It’s important that we don’t lose many of the start-ups that are out there because they are our future”.

Gary Richards spoke about what the UK’s new tax system should look like and how it can be best developed to drive economic growth. He suggested that it should be designed to minimise distortions, be reliable and avoid unnecessary tax cuts and subsidies:

“Tax cuts only make sense if they stimulate the economy”.

He also spoke about potential abuses of taxation, such as the Gig Economy and suggested that the HMRC may need to be more flexible:

“We may need to be more radical. We may need to look at taxes on wealth or on capital”.

He suggested that entrepreneurs should see tax rises as a way to benefit their businesses in the long term as it will help to stimulate activity in the economy.

Questions & Recommendations

During the Q&A session, we touched on a range of key issues.

One person asked about how the Government should think about attracting the best and brightest individuals to the UK post-coronavirus.

In response John Penrose MP spoke about how immigration will be a key part of driving the UK economy forward. However he also tied this back to technological advancements and suggested that some work could be done remotely.

“If we get the immigration system right, the best tech experts… should be available to you. If we can work remotely, they may not even have to work [in the UK]”

Baroness Kramer suggested that there are a set of real problems with the UK’s current visa system. She suggested that the UK Government need to look at the current salary benchmark in order to compete with other countries.

“When you are running a tech company, you don’t just employ a few high skilled people, you have to be able to employ people all the way down the line to keep your company going”

One person asked about 5G and whether it should be the main infrastructure focus.

In response John Penrose MP suggested that 5G will be essential and that it is important for the Government to set up a system which is neutral so it allows for the technology to play out commercially rather than rewarding companies that are able to best lobby their interests to the Government.

One person asked whether further tax breaks for investment made sense and whether we should be looking for the Future Fund to allow investors to benefit from EIS and SEIS.

In response John Penrose MP suggested in order to reduce distortions, we may need to trade away some of the schemes that the Government has created to justify their continued existence.

A question was raised about why funding tends to be focused on innovative companies and not bailing out companies that aren’t going to be viable for the future.

In response Baroness Kramer suggested that R&D tax credits should be a real focus going forward and we should use tax schemes to accelerate this.

It was asked whether there is any room for focusing on companies that the Government thinks will grow and lead to increased tax revenues in the future or is it too distortionary?

In response Gary Richards spoke about the challenges with Entrepreneurs Relief and how it was perceived by many people to be used by people who didn’t need an incentive. Gary suggested that the Relief should be focused on the long term and subject to certain criteria in order to be effective.

One person asked how the Government should best balance tax cuts.

John Penrose MP suggested that the squeeze on public sector spending will be difficult to continue and this will force the HM Treasury to consider increasing headline rates on tax and consider raising money by tax reform.

Baroness Kramer spoke about the pre-coronavirus budget and the cost of political popularity and suggested that the Government will have to cut back on its commitments in order to deal with the crisis.

“This is a real lesson, be careful what you promise”

Gary Richards suggested that tax cuts should be directed to the lower paid.

So where do we go from here? As our speakers have suggested, coronavirus has accelerated the UK faster into the fourth industrial revolution and changed the way we work. There is an opportunity to lean into technology and invest in the UK’s businesses of the future, like our start-ups.

We have a few more APPG for Entrepreneurship webinars coming up in the next few weeks. If you are interested, you can sign up here.

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