Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what steps she is taking to support the growth of (a) small and (b) micro companies.

We are taking measures to ensure the wider economic environment is conducive to growth. We are cutting borrowing and debt, and supporting the Bank of England by taking action to bring inflation down – which otherwise dampens investment in the UK and slows economic growth. Government took measures at Budget to reduce consumer price inflation by 0.4pp in 2026/27, which the office for budget responsibility forecast will reduce CPI.

The Government set out its overall approach for supporting SMEs in the Small Business Strategy published in July 2025 and built on this with targeted reforms to support small businesses at Autumn Budget 2025. The Government is committed to a fair tax system that supports small firms, while ensuring the ongoing funding of essential public services and economic stability. Through our changes to Employer National Insurance Contributions, the threshold at which business start paying Employer NICs has doubled to £10,500.

We are supporting employment and skills by changing the rules to fully fund SME apprenticeships training costs for eligible people under the age of 25.

At the Budget we announced an Entrepreneurship package to support starts ups and scale ups. As part of this, Government is undertaking its largest ever injection of capital into the British Business Bank. Over the next five years, the British Business Bank will increase annual deployment by two-thirds, aiming to unlock around £26 billion of private capital alongside £13 billion in public funding, and enable up to an additional £10 billion in small business lending through guarantees. We are also doubling the eligibility of our enterprise tax incentives to boost scale-ups, consulting on plans to reducing business energy prices, and reforming and simplifying regulation.

We have also launched the Business Growth Service, making it easier for all firms, including micro companies, to get the advice and support they need to grow and thrive.