Liz Truss is cutting red tape for UK small businesses as bad news piles up

Amid all the doom and gloom of late, small UK companies have just gotten some good news.

The troubled new prime minister, Liz Truss, told a Conservative Party conference in Birmingham on Sunday that she would cut red tape for tens of thousands of small businesses often seen as engines of economic growth.

She will do this by adjusting the rules rather than creating new ones – specifically, by changing How is a small company defined?.

“By increasing the regulatory definition of a small business from 250 to 500 employees, we will free more than 40,000 businesses from red tape,” Truss said in a statement.

This aspect of her plan should be recognized by nearly all small business owners, regardless of their political leanings.

In recent days, Truss has come under fire from the market and critics over a controversial small budget announced last month. Amid high inflation, her plan calls for the biggest tax cuts in decades, along with increased government borrowing and spending.

News of the plan – dubbed “trickle-down economics” by the opposition Labour Party and criticized by some members of Truss’ party –causing the pound to plummet.

sunday, truss tell the BBC She hopes she has “a better foundation” for announcing the budget, but insists she is sticking to her blueprint despite the market turmoil.

Particularly irritating for many is the decision to cut taxes for Britain’s top earners. Truss said on Sunday that the decision was made by Finance Minister Kwasi Kwarteng.

Meanwhile, three-quarters of British voters – including 71% of voters who backed the Conservatives at the last election – think Truss and Kwarten are “unimportant to the economy,” according to a UK parliamentary poll. out of control”. observer by opinion Post this weekend.

Truss “Right to Target Growth”

However, former prime minister and Labour leader Tony Blair said Truss was “right to target growth”.

While acknowledging that his own concerns are different from those of Truss, he Tell host Ian Bremer exist zero world Podcast this weekend:

“You have to increase the growth rate. One of the first things you realize in government is that if growth is strong, revenue is strong. If revenue is strong, you can spend money on public services. If growth is low or you It’s in a recession, and then all of a sudden everything looks worse and you have to cut service.”

Mark Littlewood, director of the London Institute of Economic Affairs, told Sky News last month that getting rid of high taxes and regulation would revive growth, adding that “a rising tide will lift all boats.”

Commercial Secretary Jacob Rees-Mogg Speaking of plans:

“Regulation supports the incumbents, it supports big business against challengers. Generally, new jobs are coming from small businesses. You can’t regulate them as big business — you stop the level of growth, you don’t get what you need Growth. It’s not a rush to remove all safety regulations. It’s making sure the regulations are what you really need and are relevant to the real problems that businesses face.”

Julia-Ambra Verlaine Barclays Forex desk before covering the market Wall Street Journal, suggesting the UK and sterling could make a comeback.ask time journal podcast on Thursday, which currency will she use now, she answered:

“I want to take sterling. I think in the long run – I’d bet they can get back on their feet and I want to buy their currency at a low price.”

with the market lack of confidence It remains to be seen how much the pound falls in Tras’s plan so far.

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