23/03/2011
New businesses will be exempt from new UK regulations for three years, a government minister has said.
Small business minister Mark Prisk has said that in allowing businesses exemption from any legislation changes for three years, it will instill a real confidence in small businesses to be able to grow without fear of the rug being pulled from under their feet.
The moves look set to allow businesses more freedom to grow, with many opting for invoice factoring as a way of injecting cash flow into their business.
The red-tape slashing measures will affect companies that employ fewer than ten employees and will encompass most new regulation except for any that affect public safety.
The announcement was made by Prisk at the annual conference of the Federation of Small Businesses (FSB), with FSB national chairman John Walker calling the move a "real victory".
Walker told smallbusinesses.co.uk, "For the next three years it [the legislation] will give those micro firms the confidence and stability they need to employ more staff without the worry of constant changes in employment law."
Business Secretary Vince Cable told Brebners Accountants, "A moratorium for the smallest and genuine start-up companies from regulations alongside the removal of obligations for flexible working and giving time off to train will be a real boost to business.
"It's not right that businesses should have to deal with government intervention by abiding by arcane rules."
David Howells