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Not so Little Britain (SWQ Consulting – PDF: 991 KB)
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Small businesses have the potential to generate over 200,000 jobs a year as they capitalise on changes to the market brought on by the recession and the growth of new markets, according to a report commissioned by O2. It suggests that the downturn has improved small businesses’ ability to attract skilled employees from larger businesses and that they are now out-performing larger competitors in several sectors including construction, hotels and restaurants and real estate. It also suggests that small businesses will have competitive advantage over the next ten years in the creative, green and health industries.
 

Jobs and Youth Unemployment: It's bad, but not as bad as you might think (LSE – PDF: 86 KB)

Young people have seen larger unemployment increases than adults during the recession but they have not been worse than in previous recessions, according to a report by the Centre for Economic Performance at the London School of Economics. It argues that youth unemployment has been rising since 2004, due to factors such as the general labour market’s weakening, increased immigration, and skill demand changes.

A 2020 Low Carbon Economy (Work Foundation – PDF: 908 KB)

A ministerial role dedicated to championing the needs of low carbon business should be created, according to a paper by the Work Foundation. The paper presents three scenarios for the next decade, all seeing increased demand for low carbon activities through technologies, manufacturing or provision of services. The report suggests that the low carbon agenda has the potential to create both low skilled and knowledge-intensive employment.

Local

Flat or Spiky? The changing location of the British knowledge economy (Work Foundation – PDF: 789 KB)

The British knowledge economy remains highly urbanised with 47% of employment in private knowledge intensive services in the UK located in London and the twelve largest regional cities, according to a report by the Work Foundation. Looking ahead to the next ten years, the report suggests that the future growth of the UK’s knowledge economy rests on its ability to capitalise on other areas where it enjoys a strong international position and reputation, such as cultural and creative industries, business services (including accountancy, advertising and design), higher education and healthcare.

News

Entrepreneurship was a strong theme at the Institute of Directors’ Annual Convention, where Vince Cable, George Osborne and Peter Mandelson spoke about their plans for business and economic development. An Entrepreneurs’ Panel, including the King of Shaves’ Will King, Simon Calver, Chief Executive of LOVEFiLM, and Emma Harrison of A4e, debated a range of topical issues. Videos and transcripts can be downloaded from the IoD’s website. 

Turnover and profitability have increased for more than a third of businesses, according to a member survey by the Forum of Private Business. The Forum's latest Economy Watch shows that whilst business confidence has increased in the last month to 44%, a significant proportion of business owners are still pessimistic about the economic outlook.

Demand for goods made by the UK's small and medium-sized manufacturers is improving at home and abroad, and production has stabilised, according to the CBI's quarterly SME Trends Survey. There was little change in numbers employed but, after six consecutive quarters of job cuts, firms expect to increase their headcount in the next quarter.

Regulation Reckoner 2010: Counting the Real Cost of Regulation (IoD – PDF: 1.7 MB)

The total administrative cost of regulation to businesses is nearly £80 billion a year, which equates to 5.7% of the UK’s GDP, according to a policy paper by the Institute of Directors (IoD). Based on a study of entrepreneurs’ experiences of businesses, the IoD has calculated that business directors spend 13 hours a month and workforces 73 hours a month on form filling, reading guidance, taking advice and performing other administrative duties associated with regulation.