ACS

Liberal Democrat Leader Nick Clegg is sending his Parliamentary team out over the Christmas break to experience at first hand how the recession is affecting local businesses. MPs will spend time working with a local business while Parliament is in recess to see how they are coping with the economic crisis.

Nick Clegg has asked every Liberal Democrat MP to talk with businesses on how the Government can help them and their employees through the recession. Tens of thousands of businesses across the country will also be sent surveys seeking their views on how firms should be supported during the recession.

Nick Clegg said: “Small businesses are the lifeblood of our economy. It is clear that the Government must be more innovative in providing support to suffering firms.

“Liberal Democrats have already put forward a full support package for small businesses. When Parliament returns in the New Year, Liberal Democrat MPs will be able to use their experiences to put forward more proposals on how Government can help businesses through the recession.”

The Liberal Democrats’ Business Assistance Package currently includes:

• The much-promised code of conduct between the recapitalised banks and the Government needs to be clarified and made publicly available now (the 438 pages of complex share agreements deposited in the House of Commons library is not good enough for the individuals and businesses who simply want to know what the Government has and has not agreed when it comes to their own position with their own bank)

• We welcome recent announcements by HBOS, RBS and Lloyds TSB on new initiatives for helping customers through the economic and financial crisis. But the Government must be much tougher on all banks when it comes to fair and proper banking terms for both personal and business banking customers. We support the introduction of new funding for small businesses, and additional measures such as the new Business Payment Support Service at HMRC. But we call for Government to do all it can to get these measures through to small businesses quickly:

o Removing any potential logjams at HMRC,
o Pressing the banks to make full and ready use of the extra funding for small businesses available to them,
o Giving businesses and their advisers clear advice, so that they can avoid being caught up in a web of confusing business support layers.

• In the medium to longer term, we continue to call for more investment in a sustainable new economy: Liberal Democrats will invest in the green economy, strengthen activity in industries outside the financial services sector, increase training and boost local businesses to generate economic success across all parts of Britain.