Business South was privileged to be invited to a meeting with the Minister for Small Businesses, Blair McDougall MP. Invited by local MPs Satvir Kaur and Darren Paffey, Business South’s CEO, Leigh Sara Timberlake, and the Maritime & Transport Action Group Co-Chair, Fran Collins, championed the small business economy in our region and highlighted its critical impact into the wider business ecosystem and local economies. Representatives also attending from Southampton’s small business network covered industries including hospitality, well-being, marketing and leisure, with other attendees including the Leader of the City Council and members of Go Southampton.
The Minister was posed a range of questions, but all focussed passionately on the challenges faced by small businesses, particularly around cost pressures from NMW / NI rises and VAT, and the ever-increasing burden of regulation. It was noted that the impact on small business is also affecting the wider economy, particularly in the service, leisure, tourism and hospitality sectors, and whilst footfall is generally strong, the cost pressures are eroding margins to the point that many businesses are unsustainably loss-making. Business owners noted that adding in the increased administrative burdens and the challenges of employment were leading many of them to downsize, close sites and even consider ceasing trading all together.
We also discussed the impact these contractions have on the city centres and outlying high streets, and it was emphasised that the closure of small businesses and the move away from physical presence is severely detrimental to the wider community interests. A particular point was made regarding the employment opportunities and constraints for young people, and all agreed that this must be a priority for the government.
I think we would all agree that this was a strong and collaborative meeting which showed the commitment and support of our two MPs in ensuring that their business community has face time with government, and furthermore, a Minister who listened and seemed keen to engage. The Minister has also promised to attend one of the APPG meetings for the Central South, and expressed an interest in visiting Southampton and we will reach out on behalf of Business South and its members in the coming days.
