A survey has found that the majority of Brits believe small businesses are vital to local economies and that they deserve greater government support to help them stay afloat

Two thirds believe UK high streets have deteriorated in recent years(Image: Getty Images)

A study, carried out in the wake of last month’s Budget, has uncovered overwhelming public backing for small businesses as they wrestle with continuing financial challenges. The research, which surveyed 2,000 adults, discovered that 88% regard small businesses as essential to a flourishing local community, with the majority believing they merit stronger support from government and local councils to remain viable.

Slashing business rates, cutting energy bills and lowering corporation tax are the primary measures Britons wish to see introduced to help small businesses. Additionally, streamlining red tape, making the tax system simpler, and decreasing National Insurance payments are other approaches the public believes would assist small businesses and high streets.

Various Budget initiatives offered some respite for small businesses, including permanently lowered business rates for smaller retail, hospitality and leisure establishments.

However, the 2% increase in dividend tax will impact many small business owners who pay themselves through dividends.

Brits say small businesses deserve more support(Image: Getty Images)

Jon Walker, CEO of AXA Commercial, which commissioned the research and has released a report detailing what help Brits think businesses need to thrive, said: “It’s great to see there is so much public support for small businesses and to know people are keen to help them through tough economic times.

“Small businesses are the backbone of the UK economy, making up more than 99% of all UK businesses, so it’s important they receive support to grow and flourish.

“When small businesses flourish, our high streets and local communities feel the benefit. People value their local communities so implementing measures to support small businesses is a positive step.”

A staggering 77% of people are keen to see more small businesses spring up in their local area, with bakeries (53%), farm shops and greengrocers (both 41%) topping the list of independent ventures locals yearn for.

However, nearly two thirds (65%) of adults surveyed reckon that UK high streets have generally gone downhill in recent years.

The main offenders are competition from online behemoths like Amazon and eBay (66%), the cost-of-living crisis (63%) and hefty business rates (62%).

Almost three quarters (70%) believe small businesses create jobs in the local community while 48% think they encourage entrepreneurship.

Over six in 10 (62%) feel small businesses make the area more attractive and liveable, and 57% believe they add character.

As Christmas festivities get into full swing, Londoners are the most likely to boost their support of small businesses during the festive season (59%), followed by Scottish shoppers (52%).

Those in the south west are less gung-ho, with only 26% saying they shop more with small businesses during the Christmas period.

Jon Walker chimed in: “It’s undoubtedly a challenging environment for small businesses at the moment. But it’s clear from this research that people are hoping the government and local councils will do more to help them.

“A vibrant and thriving local business community is a real asset to any town and it’s up to everyone, from consumers to those in power, to make sure they survive in troubled times.”

KEY SUPPORT THE PUBLIC THINKS SMALL BUSINESSES SHOULD RECEIVE:

Lowering business ratesSlashing energy billsLowering corporation tax (the tax businesses pay on profits)Reducing red tape (unnecessary regulations and paperwork)Simplifying tax so it’s easier to understandLowering National Insurance contributionsOffering grants to help businesses become more eco-friendlyProviding free advertising space to raise awareness of local businessesOffering better rates on loansTaxing foreign businesses the same as UK businesses

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