Small businesses ‘risk going under unless Treasury hands them free legal advice after Brexit’
The Institute of Directors hopes cash for as many as 300,000 firms will be included in the Budget
SMALL businesses risk going under unless the Treasury hands them £900 million in free legal advice to ride the Brexit turmoil, bosses warn.
The Institute of Directors is urging Philip Hammond to offer all small and medium sized firms vouchers of up to £3,000 so they can get urgent advice about operating in a post-EU market.
And they believe as many as 300,000 could need the help - in a dramatic cash injection from the public purse they want included in the Budget in 10 days time.
The IoD warned UK’s “uncertain” trading status with the EU is becoming the main concern for firms - with larger companies able to swallow expensive legal and advice fees.
Vouchers could be spent on legal and professional advice during any transition or adjustment period.
IoD Director General Stephen Martin said: “A Brexit voucher system would help smooth over the inevitably difficult adjustment period firms will face over the coming months and years.
More government guidance and advice would be welcome, but for smaller firms in particular, the need is for help to work out their individual exposure to changes that come with Brexit, and the specific measures they can take to adjust.”
He added: “More government guidance and advice would be welcome, but for smaller firms in particular, the need is for help to work out their individual exposure to changes that come with Brexit, and the specific measures they can take to adjust.
most read in politics
“The Budget must also pull out the stops to get investment, which has been stubbornly weak over the past two years, up and running again.
“With so much of the political gaze focused on Brussels, the Chancellor must find the far-sightedness to look beyond Brexit. The UK’s poor productivity growth is not helped by Brexit uncertainty, but it began well before the referendum.
“Skills provision, business support, and infrastructure all require thorough reform, and we must not wait to grasp these nettles.”