A boost for SMEs: The Government’s new Small Business Plan
The newly announced Small Business Plan is a strong signal that UK Government is serious about backing small and medium-sized enterprises (SMEs).
From tougher rules on late payments to streamlined access to funding, the plan aims to tackle many of the longstanding challenges holding businesses back.
Here are four key areas of the plan:
Stronger Late Payment Protections
Late payments remain one of the biggest threats to SME cash flow, often causing unnecessary strain on operations and growth. The Government plans to introduce some of the toughest reforms in a generation, including:
- A 30-day invoice verification period and maximum payment terms, to ensure quicker processing.
- Mandatory interest charges for overdue invoices.
- New audit committee oversight in large firms to review payment practices.
- Expanded powers for the Small Business Commissioner to impose fines, conduct audits, and hold large firms accountable.
These reforms would aim to level the playing field and ensure small businesses are paid promptly, giving them more confidence and control when dealing with larger customers.
Unlocking Access to Finance – £4 Billion BOOST
Access to finance continues to be a hurdle, particularly for new and growing businesses. The plan includes a £4 billion package to improve lending terms and unlock funding:
- £1 billion for Start-Up Loans and mentoring support to inspire new entrepreneurs.
- £3 billion to expand the British Business Bank’s ENABLE programme, helping lenders offer better loan terms to small and newer businesses.
This funding is designed to make finance more accessible and affordable.
Support via the New Business Growth Service
The Government’s new Business Growth Service would aim to streamline the way SMEs access support. The goal is to:
- Reduce the red tape and time it takes to get advice or guidance.
- Offer tailored support to help businesses scale, innovate, and thrive.
- Free up founder and leadership time so you can focus more on strategy and less on admin.
For many SMEs, having one simplified route to trusted support could be a game changer.
High Street Revitalisation and Tax Relief
To breathe new life into local economies, the plan includes:
- High Street Rental Auctions to bring vacant premises back into use.
- Permanent lower business rates multipliers for retail, hospitality, and leisure sectors – a potential lifeline for many high street SMEs.
These measures could reshape high streets and create new opportunities for expansion.
At TC Group, we’re committed to helping our clients make the most of these changes, whether it’s accessing finance, improving cash flow, or planning for growth.
next steps…
At TC Group, we understand that no one business is the same, and what truly sets us apart is the time we take to understand you.
Your goals.
Your challenges.
Your money worries.
We believe in building long-term relationships that make a real difference, not just offering advice, but helping you take confident steps toward growth and security.
For further guidance, reach out to your TC Group Relationship Manager, or contact your local TC Group team.