Bivek Sharma, head of KPMG Small Business Accounting, comments on the Budget's positive impact on small businesses.
“George Osborne has gone all out to win over small business owners. By lowering stamp duty and corporation tax while doubling the business relief rate for small firms, the Government is finally coming out on the side of small businesses. Better still the increase in the personal tax allowance and no movement on rumoured cuts to Entrepreneurs’ Relief, will help offset the abolition of dividend relief, incentivising small enterprises to keep growing.
"This support comes just in time, with small firms’ cash flows under pressure from pension auto-enrolment and the National Living Wage. With downgraded UK growth predictions and increasingly volatile global markets, 2016 could be a tough year for British small businesses, so they’ll need all the help they can get.
"The one big disappointment was we heard nothing on access to finance for young firms. On the same day Legal & General reported small businesses are still depending on credit cards and personal loans, this is a significant omission.”
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