What Should The Government Do To Boost Exports?
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...provided by UKTI and want more of it.
One third (33%) of those surveyed thought something should be done about TAX. Suggestions included:
- Tax credits for exporting.
- Reduce corporation tax on export revenues so that companies put more effort into exporting.
- Tax incentives for exports to targeted countries.
- Promise that any new tax incentives will remain in place for five years to increase confidence.
- Simplify procedures, such as the foreign entertainer’s tax requirements.
- Simplify rules on the taxation of overseas profits.
- Harmonise VAT on goods that are re-exported.
A quarter (24%) of the business-owners saw funding, grants and lending...
...as the solution. Several commented that lending to small business should not be left to the banks, but operated directly by government. Suggestions included:
- Providing more equity funding to take the place of the short term bank borrowing on which many firms rely.
- Provide more funding to subsidise overseas market visits and exhibitions.
- Provide pre-venture capital to get good ideas to the development stage.
Ten percent wanted to see government moves that would produce a better educated, trained and flexible workforce in the UK. Several mentioned a shortage of technical or manufacturing skills as a major problem for their business. They suggested:
- Promoting manufacturing apprenticeships.
- Boost management and technical skills in government and business.
- Boosting the literacy and numeracy of school leavers.
- More language teaching and exchange programmes in schools.
Government’s role in maintaining a favourable exchange rate was seen as worth mentioning by seven percent, and finally a small but vocal two percent of the sample called for the UK to leave the EU.
The IBIS survey gathers information about the UK SMEs that participate, and asks about their plans to do business across borders. It is expected to provide insights into the factors that enable SMEs to generate export-led growth for the... continued on page three >