Survey reveals what transport industry SMEs would like from the government

July 2015

Survey reveals what transport industry SMEs would like from the government: Figures from the latest Close Brothers Business Barometer have shown that nearly a quarter (24 per cent) of small and medium businesses in the transport sector would like the Government to scale back regulation and red tape.

The Close Brothers Business Barometer is a quarterly survey of small and medium businesses, which asks respondents to give their opinion on a variety of financial and economic problems.

The research also discovered that 23 per cent of the transport firms in the survey would most like the UK’s Government to take action on late payments. As well as this 15 per cent said that a freeze on business rates would be the best thing the Government could do for their industry. A further 10 per cent said that assistance in accessing finance is what they’d most like to see from parliament.

John Fawcett, Managing Director of the Transport Division at Close Brothers Assess Finance, said of the findings:

“Road transport legislation is often cited as a barrier to growth, particularly for SMEs who often struggle with the administrative costs associated with ‘red tape’. Whilst the previous government took some steps to reduce unnecessary rules and regulations, there is still a challenge facing the new government to further tackle the issue. Late payments were another key concern for transport firms, which isn’t surprising as so many operate on tight profit margins. It would be great to see some positive action taken to reduce the impact of late payments, and improve cash flow in the sector.”

Of the companies in the survey, 2 in 5 said that trading conditions are getting better for their firm, with 38 per cent revealing that they anticipate an expansion in the coming 12 months.

“The transport sector is often regarded as a barometer for the overall economy, supporting and driving other industries, so It’s encouraging to see that so many firms are looking towards growth and positive about the future” Fawcett added.