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PKF dismisses Darling’s ‘Lilliputian’ Budget measures for small businesses


12 March 2008: Apart from the welcome increase in Enterprise Investment and Venture Capital Schemes’ investor limit from £400,000 to £500,000, the remainder of Alistair Darling’s Budget business measures are unlikely to reassure the UK’s 13 million strong small business community that their interests are high on the Government’s agenda.

Lisa MacphersonPKF National Tax Director, Lisa Macpherson, described the Chancellor’s handful of measures such as the temporary 20% increase in finance available from the Small Firms Loan Guarantee scheme; the £12.5m capital fund for businesses run by women; and the creation of a committee to provide advice on how SMEs can win more public sector contracts as ‘Lilliputian’. “These half-hearted measures give the impression that the Government is genuinely interested in supporting small businesses, but they fool no-one.”

“After nearly 11 years under a Labour Government, the small business sector is more highly taxed, frustrated and overburdened by meaningless red-tape than ever. The latest blows caused by the pre-Budget uncertainty in the capital gains tax rules; increases in corporation tax for small companies; and the planned introduction of income shifting rules which have now been postponed a year; completely contradict Government promises to simplify and incentivise the sector and have left small businesses totally demoralised and disillusioned.”

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For further media information, please contact:

Jason Gowar, PR Manager, 020 7065 0573, jason.gowar@uk.pkf.com
Jane Murray, PR Executive, 020 7065 0135, jane.murray@uk.pkf.com

For general enquiries please contact our switchboard on 020 7065 0000

Follow PKF's Budget 2008 coverage at www.pkf.co.uk/budget

Notes to Editors:
  1. PKF is a leading firm of accountants and business advisers with more than 1,800 partners and staff operating in 23 offices in the UK mainland firm, a wholly-owned financial planning company and associated offshore practices. The firm specialises in advising growing and entrepreneurial/owner-managed businesses, AIM and fully listed companies, and also has extensive experience in the public and not-for-profit sectors. Principal services include assurance and advisory; taxation; consultancy; corporate recovery and insolvency; corporate finance and forensic. The firm has particular expertise in advising sectors such as hotels and leisure; mining and resource; public sector; real estate and construction; professional practices; not-for-profit; and medical. The firm’s web site is www.pkf.co.uk.
  2. PKF (UK) LLP also offers financial services through its FSA authorised company, PKF Financial Planning Limited. PKF (Isle of Man) LLC is a limited liability company registered in the Isle of Man. PKF (Guernsey) Limited is incorporated in Guernsey.
  3. PKF (UK) LLP is a member of PKF International which is an association of legally independent firms with more than 14,650 people operating in 119 countries around the world.

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