The government has been urged to provide further support for family businesses in a new report by the Institute for Family Business (IFB).
According to the report, family firms in the UK generate £1.1 trillion a year for the economy, but the IFB believes that this figure could improve with the right backing from ministers.
The report asks the government to eliminate the red tape and bureaucracy currently surrounding employment legislation. It also suggests altering the tax system, as 14 per cent of HM Revenue & Custom (HMRC) is generated by family businesses.
It is thought that by making these changes, the government could help owners of a family business to create many more jobs.
In an interview with Fresh Business Thinking, the IFB's director general, Grant Gordon, urged the government to at least consider the proposals made in the report.
He said: "Family businesses are unique. They offer the economy the benefit of a long-term perspective and a desire to create successful businesses that are passed down through generations.
"We want the government to make changes that will promote family business entrepreneurship and make a significant difference to the UK economy. Times are tough, and we're not asking for special treatment, just a level playing field."
According to The Manchester Evening News, the IFB estimated that there are a total of 2.96 million family firms which could benefit from these changes in legislation.
Our gift to you...
Apply now for your personal leadership consultation with a Vistage Chair. They'll help you assess areas of strength of your business and identify areas of potential growth.
