The Federation of Small Businesses (FSB) is rather concerned over the Bank of England’s efforts to encourage UK lenders to repay debts. While lenders have repaid about half of what they had borrowed, £185 billion, to deal with the economic crisis in 2008, the BoE wants all debts repaid. Such effort will have a negative impact on the credit and finance that is made available to SMEs. While the bank had brought down interest rates to 0.5% in March 2009 it needs to be careful about how it approaches the special liquidity scheme. By removing billions from the market a slow down in business activity is expected.

Finding the right work and life balance is important for every professional. Experts say that extending the 20 week maternity leave can be rather costly for a business and for the economy too. It could lead to discrimination against women who are most likely to plan a pregnancy. Since such a leave extension is predicted to cost the economy £2 billion, it is likely that SME owners would like to find a way around it. This would mean that they would avoid hiring women who may get pregnant. The German government has been against this EU proposal and the UK government also plans to campaign against it.

The recent Companies House report indicates the number of entrepreneurs starting a new business has again gone up in the month of November. Experts say that with people still bearing the effects of recession and large public sector cuts, more and more people prefer to turn entrepreneurs. Owning one’s own business brings job stability, something that has been missing in the last two years. In recent times this trend has been witnessed in England, Scotland, Wales and Northern Ireland. Businesses can benefit tremendously from the internet and also from the support that the small business community can offer it.

With increased online transaction close to the Christmas there is an increased threat of fraud. With more business transaction companies are less diligent with their verification processes. It is important for consumers to ensure that they don’t give important personal and financial information. Unfortunately, in many cases the social media site profile of an individual provides adequate information that can be misused. The National Fraud Authority reports that every year identity theft affects over 1.8 million people across the UK and costs the country £2.7 billion.  It is important for both customers and businesses to be more vigilant during the festive season.