Tory plans would hurt existing small businesses in Somerset - Cable

5.19.58pm BST (GMT +0100) Wed 7th Oct 2009

Commenting on George Osborne's proposals to waive employers' NI contributions, Liberal Democrat Shadow Chancellor, Vince Cable said:

"The numbers Mr Osborne thinks this policy would help seem to have been plucked out of thin air. Many small businessmen will be shocked to learn that the Tories believe a start up business has a wage bill of a quarter of a million pounds.

"What is most worrying is that this tax break for new businesses would mean that they will be able to undercut existing small companies who are already struggling."

Somerset County Council's shadow cabinet member Councillor Sam Crabb added:

"All Somerset's small businesses need a helping hand at this time. Under the Liberal Democrat administration we put a number of measures in place to help them through the recession. These worrying messages coming from the Tory party conference, show just how out of touch they are."

ENDS

Contact: Cllr. Sam Crabb: 07785 744771

Notes to editors:

The Liberal Democrats at County Hall had put in place plans for helping Somerset businesses through:

· A 'Business Boost Scheme' to help local business during the downturn by assisting them with a recovery plan and a 'business boost voucher' to help action it.

· A 'Buy local' initiative to promote local products, at the Royal Bath & West Showground and through 'Big Night Out' events in Somerset towns.

· Promoting Somerset as a place to visit within the UK, using billboard advertising and undertaking joint marketing work with neighbouring tourist destinations.

· 'Into Somerset', a public/private sector company promoting Somerset as a business location, bringing increased employment opportunities.

· The Market town regeneration fund which provides match funding of between £5,000 and £25,000 for a market town project that can deliver real economic benefits.