As part of a cross-Government package of support, we're putting a particular priority on providing real help to SMEs, which we know are vulnerable in the economic downturn
Working together with other Government departments
The following Government departments are working together through Business Link, to help businesses to meet the short term economic challenges and emerge stronger from the economic downturn:
- Department of Innovation, Universities and Skills (DIUS)
- Department of Business Enterprise and Regulatory Reform (BERR)
- Department of Work and Pensions (DWP)
- HM Revenue and Customs (HMRC)
- Department for Environment, Food and Rural Affairs (DEFRA)
- Department of Energy and Climate Change (DECC)
- Department for Communities and Local Government (DCLG)
Train to Gain now made more flexible for SMEs
The Government has taken decisive action to widen the package of support on offer to businesses by relaxing the rules for smaller businesses and agreeing flexibilities tailored to the needs of different sectors. We are making SMEs the focus of planned increases in spending on Train to Gain of £350 million over the next two years - together with a new SME package for employers with fewer than 250 employees.
We also recognise the particular needs of different sectors, and that is why we have worked in partnership with Sector Skills Councils to make the Train to Gain offer more flexible and tailored through sector compacts, or funding deals. Ten have been agreed so far (with SEMTA, Proskills ConstructionSkills, People 1st, Skills for Justice, Skillfast-UK, Asset Skills, Cogent, ECITB and Skillset).
The new SME package
The new SME package means that on top of the core offer available to all employers, those with fewer than 250 employees can also now access:
- Smaller, focused training programmes in subjects demanded by businesses including: business improvement, business systems/processes, team working/communications, sales and marketing, IT User, IT support, customer service, new product design, finance and credit, cash flow and profit management, and risk management.
- Fully funded Level 2 qualifications and subsidised Level 3 qualifications, regardless of whether the employee already has a qualification at this level.
- Funding for leadership and management training extended to businesses with 5-10 employees.
In addition, businesses with less than 50 employees can still receive a contribution to wage costs to cover the cost of time off to train.
There will also be help for groups of SMEs located together in business parks so that they can increase their purchasing power and share resources to support the training of staff.
To access a skills broker visit the Train to Gain website or call 0800 015 55 45.
You can also download the Train to Gain leaflet
(203 KB).
Prompt payment from government bodies
Government bodies in England have committed to pay firms within 10 days to improve your cash-flow. Regional Development Agencies, which spend around £750m per year with suppliers, have signed up to this target. We are also working with NHS trusts, local authorities and other public sector employers to extend the payment target.
Free health check for businesses
Business Link can undertake a free 'Health Check' for businesses in England to help identify problems early and provide advice on surviving in the current financial climate. The service includes follow-up and monitoring support to ensure the plan is working for you. Business Link users will also be given free guidance, produced by the Institute of Credit Management, to help UK businesses to maintain cash flow, secure finance and limit problems caused by late or non-payment.
For more details go to Business Link or call the National Help Line 0845 600 9 006.
Financial support for businesses
On Wednesday 14 January, Government launched a package of financial support to help business cash flow, credit and capital needs. Information on this support can be accessed from Business Link: Real help with finance now.
Reduce energy bills
Businesses can save significant costs and improve cash flow through simple measures to use energy more efficiently. The average annual saving for small companies is around £250, with savings for larger employers rising to £5,000 or more a year.
Practical advice on how business can save energy is available at Business Link: Save energy and cut costs.
