Threat to business investment

Posted on 19 Feb 2025
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Rising costs threaten business investment

As UK businesses prepare for significant cost increases due to national insurance and minimum wage hikes in April, the challenge of securing investment has become increasingly daunting. Joanna Jensen, an entrepreneur and chair of the Enterprise Investment Scheme Association, highlights that "growth is achieved through investment," urging the Government to enhance incentives and reduce red tape. The British Business Bank (BBB) has £8bn to invest, yet many SMEs struggle to find private investors, stalling growth. The Enterprise Investment Scheme (EIS) offers potential solutions, but its outdated limits hinder investment. Jensen advocates for changes to EIS regulations to attract more funding, emphasising the need for immediate action to support UK businesses.

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