Government launches new fund to support small business growth

Tuesday June 26th, 2018

In a speech to the CBI today (Tuesday 26 June) Small Business Minister Andrew Griffiths will unveil a new £8 million fund to boost the productivity and performance of small businesses in England.Government Opportunities

Boosting national productivity and increasing workers’ earning power forms a key part of the government’s modern Industrial Strategy and the Business Basics Fund, run by BEIS in partnership with Innovate UK, will help businesses, charities, trade organisations and public sector organisations support small businesses in adopting tried and tested technologies and management techniques.

Once the projects are launched, the government will then work with leading experts to evaluate the effectiveness of each project in boosting productivity, helping to inform future policies.

Research from the CBI suggests that by encouraging more businesses to take advantage of leading technologies, management practices and business support services – such as cloud computing, mobile technology and e-purchasing – the UK economy could receive a £100 billion boost and see a 5% reduction in income inequality.

The launch of the fund is the latest in a number of new measures introduced by the government to boost business productivity, including a review launched last month on how best to raise business productivity.

The Business Productivity Review call for evidence is open until 6 July 2018 and the government is encouraging workers, businesses, trade associations and other interested parties to contribute their views to it.

In 2017 Be the Business, an industry-led initiative backed by government, launched to help businesses across the UK benchmark their current level of productivity, access advice and utilise smart management training.

Small Business Minister Andrew Griffiths said:

“Small businesses are the backbone of our economy, with more than 1,000 new businesses starting up every day, and it is vital that we support them to grow through our modern Industrial Strategy.

The Business Basics Fund will test new and innovative ways of supporting small businesses to take advantage of technologies and management practices – giving small business leaders the tools and support they need to continue to thrive.”

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