FSB gives shadow chancellor’s proposals a cautious welcome » SMEInsider

FSB gives shadow chancellor’s proposals a cautious welcome

As the political conference season gets underway, the first reaction to the parties’ proposals for the economy is in. Shadow Chancellor John McDonnell was first out of the block, telling the Labour conference this afternoon that he wanted to introduce a National Living Wage of £10 if they gain power.

In addition, the shadow chancellor – a key ally of leader Jeremy Corbyn on the left of the party – also announced plans to:

  • “end the social scourge of tax avoidance” by doubling the number of HMRC staff working in this area and banning “tax-dodging companies” from winning public sector contracts
  • fight for the “best possible” Brexit deal for the UK
  • ensure there are “no more (former BHS owner) Philip Greens”
  • rewrite the Takeover Code to make sure every takeover proposal has a clear plan in place to pay workers and pensioners
  • repeal the Trade Union Act


A good start

Commenting on McDonnell’s speech, Mike Cherry, National Chairman of the Federation of Small Businesses, said: “FSB welcomes the high-profile announcement from John McDonnell that the Opposition will look at expanding the Employment Allowance, which was arguably one of FSB’s biggest wins in recent years. We call for this to be expanded further to help small firms tackle low pay and boost jobs.”

“Our members will also be pleased by moves to create new small business workspaces in local communities, strengthen small business access to finance to enable them to grow, shake-up the energy market to allow small local suppliers to compete and innovate, and bring greater parity between how the welfare system treats the self-employed and the employed.”