Five ways in which the Liberal Democrats support small businesses

Both in the coalition government and as a party the Liberal Democrats support small businesses.

The Federation of Small Businesses's Business Manifesto calls for a sustained economic recovery. Working in the coalition government the Liberal Democrats have reduced unemployment (the total UK figures for unemployment based on claimant count are 600,000 lower than Labour's last full month in office - April 2010), reduced inflation, reduced long term interest rates and reduced the gap between what the government is spending and what it raises through taxation.

The Federation of Small Businesses's Business Manifesto calls for infrastructure investment in the next Parliament. Liberal Democrat economic plans provide for the government to balance its budget in terms of day to day spending (pensions, teachers, nurses, road repairs etc) but would allow the government to borrow for productive investment - bridges, hospitals, rail links etc.

Liberal Democrat ministers working within the coalition government have endeavoured to help small businesses and the Liberal Democrats have policy for further help in the next Parliament.

Five specific ways in which the Liberal Democrats are helping small businesses:

- Many small businesses complain of late payment by government and big businesses. Through the Small Business, Enterprise and Employment Bill Liberal Democrat minister Vince Cable plans to force large businesses to publish how long they take to pay invoices in their annual accounts.

- Many small businesses complain of difficulties in obtaining business finance. The British Business Bank, again sponsored by Liberal Democrat minister Vince Cable, is providing guarantees and finance for lenders that is intended to ease the difficulties small businesses find in obtaining bank finance.

- Many small businesses complain that their business rates are unfair. The coalition government has introduced rate relief for small businesses and Liberal Democrat minister Danny Alexander has announced a major review of the business rate system.

- The Liberal Democrats pre-manifesto commits to maintaining the Apprenticeship Grant for Employers throughout the life of the next Parliament.

- Finally we should mention the initiative of one Liberal Democrat MP (Greg Mulholland, Leeds North West) who forced through a back bench initiative allowing tenants of large pub companies to opt for market rent only tenancy of their pub with the freedom to buy their beer in the open market.

All the references to Liberal Democrat policy are based on the Lib Dems pre-manifesto which was published in September 2014 and has been debated at Lib Dem conference. The Lib Dems pre-manifesto is available here - http://www.libdems.org.uk/liberal_democrats_launch_2015_pre_manifesto . This will be replaced by the 2015 General Election Manifesto when that is published.

For the Deputy Prime Minister's view of what the coalition has done to support small businesses read the speech http://www.libdems.org.uk/nick-clegg-speech-to-the-federation-of-small-business-conference .

Richard Allanach is senior consultant with AR Alacrity Services Ltd.