Entrepreneurs reject business bank and shares for rights and call for national insurance cuts

The government's business bank and employee ownership initiative are not the way forward, says a survey of 300 UK entrepreneurs.

A further cut in national insurance would be a bigger boost to business than the coalition’s new business bank, a study by E2Exchange finds.

In a poll of 300 UK business builders, the entrepreneur network finds that 85 per cent believe that the business bank would not make a ‘significant’ difference, while 90 per cent state that measures to allow employees to exchange a portion of employment rights for shares are a futile step.

Rather, the entrepreneurs questioned would rather see cuts in national insurance, rather than the reductions in corporation tax currently being implemented by David Cameron’s government.

In a further blow to the Conservative/Liberal Democrat alliance, 70 per cent think that business would be better under a pure Tory government.

Shalini Khemka, CEO of E2Exchange, comments, ‘Although it’s encouraging that the UK has avoided a triple-dip recession, economic and business conditions still remain difficult and E2Exchange remains committed to assisting the country’s entrepreneurs with every aspect of their business so that they can play as strong a role as possible to help drive the UK’s economic recovery.’

More on entrepreneurship:

Back in March, the E2Exchange was re-branded from its previous form, the London Entrepreneurial Exchange. LDC CEO Darryl Eales was installed as the body’s new chairman alongside fellow new recruit Hugh Chappell, who is serving as a board director.< The E2Exchange's honorary president is Richard Branson and has a board containing Dragons' Den panellist Duncan Bannatyne and Quintessentially co-founder and group executive chairman Aaron Simpson. The survey also finds that entrepreneurs believe that the business bank will need more 'firepower' and seed capital from the government to give it 'real independence'. On the issue of shares for rights, only a small portion of entrepreneurs think they will be using the recently-approved legislation.

Hunter Ruthven

Hunter Ruthven

Hunter was the Editor for GrowthBusiness.co.uk from 2012 to 2014, before moving on to Caspian Media Ltd to be Editor of Real Business.

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