Party Conferences 2024: What SMEs Need to Know

As the UK's political parties wrapped up their annual conferences in September 2024, several key issues emerged that will significantly impact small business owners across the country. From tax policies to energy costs, here’s a round-up of the most relevant takeaways from the Liberal Democrat, Labour and Conservative events.

Liberal Democrats: Local Economies and Brexit Policies

The Liberal Democrats' conference, in Brighton from 14th to 17th September, focused on empowering local businesses through ‘decentralised governance’ and support for the high street. They reiterated their commitment to reversing Brexit policies that have hampered small companies dependent on EU trade. This ‘reversal’ includes advocating for easier access to European markets and re-establishing ties with EU regulatory bodies to simplify the export process.

For small businesses, particularly those struggling with supply chains or EU trade regulations post-Brexit, the Lib Dems' push for closer ties with Europe could mean fewer bureaucratic hurdles in the future. Additionally, the party voiced support for business rate reform to ease the financial burden on small retailers.

Labour: Clean Energy and Workforce Skills

The Labour Party’s annual conference in Liverpool, from 22nd to 25th September, brought several pledges to benefit small businesses. Prime Minister Keir Starmer spoke about Labour’s mission to make the UK a clean energy superpower.

The transition to green energy is central to the party’s economic strategy, aiming to create sustainable jobs and reduce energy costs - an essential issue for many small businesses. Labour also proposed a significant investment in skills and training, focusing on reducing the ‘skills gap’, primarily affecting construction, hospitality and manufacturing.

For SMEs, this could mean better access to a highly skilled workforce and more Government support for niche training programmes.

Conservatives: Tax and Deregulation

The Conservative Party, whose conference took place from 29th September to 2nd October in Birmingham, highlighted tax cuts and deregulation. Senior Tories called for the easing of the tax burden on businesses, including cuts to corporation tax and measures to simplify the tax code for small businesses.

However, unlike Labour and the Lib Dems, the Conservatives did not engage in formal policy votes at their conference. Instead, the focus was on strategic speeches and discussions on reducing red tape and increasing business freedoms to stimulate growth​.

For small business owners, this could translate into a more straightforward regulatory environment and potential reductions in operational costs.

What Should Small Businesses Expect?

• Tax Reforms: The Conservatives are leaning towards tax cuts, while Labour’s focus is more on investment in workforce skills. Businesses may see a growing tax burden in exchange for more Government support available.

• Energy Costs: Labour’s green energy initiatives aim to lower costs in the long term, a crucial issue for small businesses. Watch for grants or subsidies to help companies to transition to renewable sources.

• Skills and Training: Labour’s focus on training could benefit industries hit by the UK’s skills shortage. Businesses might gain better access to skilled workers or receive support for in-house training schemes.

• Brexit and Trade: The Liberal Democrats’ call to reconnect with Europe could be particularly important for small businesses trading internationally. A push for re-entry into the single market might reduce trade barriers, boosting export potential.

For small business owners, these conferences provide insights into how political shifts could affect your operations. It’s worth paying close attention to proposed legislation in the coming months, as each party’s policies will shape the business environment. Whether it’s tax changes, training initiatives or trade regulations, staying informed will be critical.

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