A couple of weeks before her short stint as prime minister ended, Liz Truss delivered on a pledge to tackle what some – including Truss – saw as red tape holding back “thousands of growing businesses” in the UK. The move focused on exempting small businesses from certain regulations to help stimulate growth. It involved expanding the government’s definition of “small business” to release “thousands of UK businesses” from reporting requirements and regulations.
Small businesses are an undoubtedly important part of the economy. The latest UK government figures (based on previous definitions) indicate that small and medium-sized enterprises (SMEs) account for 99.9% of businesses, contributing 61% of total employment in the private sector.
