If you’ve been uneasy about the long-term resilience of the UK’s financial backbone, you’re far from alone as the Business and Trade Committee (BTC) shares your concerns.
There’s a glimmer of optimism, though, as they’ve vowed to investigate the chronic underinvestment that’s holding back British businesses and explore practical solutions.
We take a look at how this could impact business owners and what you might do to prepare for the changes.
Is there really chronic underinvestment in the UK?
That’s the very question the BTC is tackling first.
As Rt Hon Liam Byrne MP, Committee Chair, puts it: “Britain has world-class science, world-class entrepreneurs, and world-class capital.
“But we lack a world-class system to connect them.”
You may have sensed this disconnect yourself as you watch pockets of the economy surge while others struggle to attract funding.
That patchwork of growth has spurred a fresh inquiry into both its causes and cures.
Rather than tinker “at the margins,” this initiative aims to build a “new architecture of investment for a new age of risk.”
The warning is clear – if we don’t rethink access to finance now, we won’t just miss our growth targets, but will in fact “miss the future.”
Recent global shocks have underscored the urgency of forging a robust domestic investment ecosystem.
What does this inquiry mean for your business?
The inquiry is only just getting going, so its full impact remains to be seen.
However, if you’ve long felt the pinch of fragmented funding, now is your chance to have that voice heard.
We expect opportunities for business owners to contribute evidence as the inquiry unfolds and we’ll keep you posted on how to get involved.
The Committee will focus on four key pillars:
- Is British investment too low—and why?
- The suppliers of capital
- The seekers of capital
- Government strategy and the role of ministers
In the wake of the Spending Review, ministers have pledged to channel more money into our economy and support homegrown enterprises.
Ideally, this inquiry will guide that funding in a way that doesn’t inadvertently saddle entrepreneurs with extra costs.
With tax pressures mounting and global markets still in flux, the stakes couldn’t be higher.
If the Government delivers on its investment promises, we could be on the cusp of a vibrant new era for UK business.
If not, widespread financial strain may follow.
Whatever the outcome, we’re here to help you navigate the changing landscape and seize every opportunity.
The launch of this inquiry shows the BTC recognises the systemic barriers holding back our economy and is ready to tackle them head-on.
As they work to reboot Britain’s investment engine, we’re committed to doing the same for your business.