Chancellor of the Exchequer George Osborne delivered the Autumn Statement today, with a range of announcements applicable to small businesses. Osborne introduced these changes by saying “we’re backing British businesses all the way!”
One of the major announcements is a 2% cap on business rates. Rate relief for smaller businesses will also be extended for another year until 2015, and businesses will be able to pay their rates over a period of 12 months.
We were already aware of the Employment Allowance coming next April, which will help to cut national insurance contributions, but from 2015 it will be even cheaper for small businesses to hire young people. The Chancellor announced that employer national insurance contributions will be cut entirely for under-21s earning less than £813 a week. This is expected to save businesses up to £1,000 per employee.
The Statement also brought the announcement of an expansion of the Start Up Loans scheme. As expected, loans will now be available to all ages. To facilitate this, the amount of funding will be doubled to an additional £160m over six years.
And finally, the New Enterprise Allowance, which offers business funding and mentoring to get people off benefits, will be extended to 2016.
Will any of today’s announcements affect your small business? Is there anything you feel was overlooked? Leave us a comment below.