Russell George AM/AC – the Shadow Minister for Business and Economy – has welcomed measures to support small businesses as outlined in the UK Government's Budget on Wednesday.
A long-time proponent of abolishing business rates for all small businesses, Mr George has urged the Minister for Finance to take urgent and similar actions to offset some of the likely consequences from the Covid-19 virus, commonly called Coronavirus.
He said:
“Given the situation we now face, immediate measures are required to ensure that businesses are adequately supported in order to shore up their financial position as they prepare to navigate the unpredictable time ahead.
“The UK Government’s commitment to abolish business rates for SMEs for 2020 is a welcome measure which will provide confidence to small businesses.
“However, given that a number of the Chancellor's announcements are applicable to England only, the Welsh Government has a role in using the budget consequentials arising from the budget by responding to this emerging and uncertain situation, which will undoubtedly put small businesses under severe pressure over the forthcoming weeks and months – the impending Covid-19 epidemic could have a significant impact on the wider Welsh economy.”
He added that small businesses are “… at the frontline of the Welsh economy and potentially more susceptible to the negative consequences of such a widespread Covid-19 outbreak”.
Mr George added:
“I strongly encourage the Welsh Government to react quickly and without delay in following the UK Government's lead in responding to the needs of the business community by immediately introducing business rate relief measures for small businesses and consider introducing other short-term economic stimulus measures which will provide a safety net to Welsh businesses.
“This will allow them to continue to operate and provide them with confidence that the Welsh Government will support and protect them from the challenges and potential hardships which this virus will undoubtedly inflict on the small business sector.”
Mr George concluded by saying that he will look to work collaboratively and constructively with the Welsh Government and all other stakeholders, but added:
“I strongly advocate that the Welsh Government takes immediate and urgent action to respond to this emerging crisis facing our small businesses, and mitigate the worst effects of the Covid-19 virus on the Welsh economy.”