Comments on: What more can the Government do to help small businesses manufacturing in the UK? /opinion/what-more-can-the-government-do-to-help-small-businesses-manufacturing-in-the-uk/ Build Your Homegrown Brand. Boost Local Manufacturing. Make Buying British a Doddle. Sat, 30 Aug 2025 22:20:15 +0000 hourly 1 https://wordpress.org/?v=7.0.4 By: Adrian Girling /opinion/what-more-can-the-government-do-to-help-small-businesses-manufacturing-in-the-uk/#comment-6564696 Fri, 08 May 2020 12:45:29 +0000 /?p=8757#comment-6564696 The way the government is supporting business through the coronavirus crisis is a good example of how much government in the UK seeks to prevent small manufacturing businesses from growing into big manufacturing businesses. It’s probably because political parties are supported financially by big business and the unions who in turn are keen to suppress potential competitors. This of course is government supported anti-competitive practice.

Consider for instance the business rates holiday for retail, hospitality and leisure businesses. In normal circumstances a small manufacturing business occupying premises with a rateable value of less than £15,000 per annum is entitled to pay reduced commercial rates – actually zero up to a rateable value of £12,000. But as soon as you’ve clawed your way up to employing people, plant and machinery which requires more space, the hammer falls – suddenly you are a threat to those who fund political parties.

But if you are in retail, where your supply chain depends on offshore manufacturing using cheap labour you are now entitled to full rate relief. So manufacturers have survived in spite of global competition continue to be squeezed in the middle. The little guy gets help, so he can compete against someone who has clawed his way up to providing employment for others. This competition, combined with being punished by government for sticking his head above the parapet, in danger of competing against political party funders, sustains the status quo and makes sure that fat cats can continue to get fatter. Is it any wonder we don’t have many growth businesses in manufacturing in the UK?

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