New Government Plan Offers Boost for Local Businesses

- 01st August 2025
Strategy

The UK Government has launched its Backing Your Business Plan, a wide-ranging initiative aimed at supporting small and medium-sized enterprises (SMEs) – the backbone of the UK economy.

The plan outlines five key areas of support:

1. Opening Up Opportunities
  • The plan introduces the new Business Growth Service, designed to simplify how businesses access advice and support. It includes a streamlined digital platform at business.gov.uk, prioritises SMEs in public sector contracts, and expands export support through UK Export Finance. The Cornwall & Isles of Scilly Growth Hub will be partnering with the Service to create a seamless experience for businesses in Cornwall & the Isles of Scilly, connecting local expertise with national resources.
  • Making SMEs a national priority for public sector and government contracts.#
  • Supporting under-represented entrepreneurs, building on the success of initiatives like the Invest in Women Taskforce
    and Lilac Review.
  • Supporting small businesses to trade abroad and expanding UK Export Finance’s capacity by £20bn.
2. Fixing the Fundamentals
  • Tackling late payments with the most significant legislative reforms in over 25 years, an issue that costs the UK
    economy £11bn per year.
  • Modernising the tax and customs system to make it easier to use and save time.
  • Supporting firms to decarbonise, alongside lowering energy costs and increased training for retrofit jobs.
  • Reducing regulatory admin costs by 25%, saving businesses time and money.
3. Unlocking Access to Finance

The plan commits to:

  • 69,000 Start-Up Loans with mentoring support
  • A £3bn boost to the British Business Bank
  • £340m for regional equity investment
  • A lender Code of Conduct for government-backed loans
4. Backing the Everyday Economy

Support for high streets includes:

  • A consistent national approach to licensing, making it easier to set up or modify cafes & bars, and establishing
    hospitality and night-time economy zones to cut red tape, support outdoor dining and late-night venues.
  • New High Streets and Growth Incubators
  • Permanently lower business rates for retail, hospitality, and leisure properties under £500,000 from April 2026
5. Future-Proofing Business Skills

Investment in skills includes:

  • Digital Adoption pilots
  • Leadership and management training
  • A new Business Mentoring Council
  • £1.2bn more annually for SME-focused skills development
  • A new ‘Youth Entrepreneur’ King’s Award for Enterprise

As your local Growth Hub, we’re here to help businesses in our area understand and access the support. Whether you're just starting out or looking to grow, we can guide you through the options available locally and nationally.

📞 Contact us today or visit the GOV.UK website to explore the full plan.

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