Xero advocates for Small Businesses

Xero’s manifesto for small business success

Tackle unapproved debt once and for all

For decades, late payments have hindered and frustrated small businesses. It is time to change the culture that allows big businesses to avoid paying what they owe. We need to call late payments what they are: “unapproved debt” and bring in legislation to hold big businesses accountable so small businesses receive the money they are owed, on time.

For decades, late payments have hindered and frustrated small businesses. It is time to change the culture that allows big businesses to avoid paying what they owe. We need to call late payments what they are: “unapproved debt” and bring in legislation to hold big businesses accountable so small businesses receive the money they are owed, on time.

Keep tax simple and accessible

Simplify the complex UK tax system for small firms. There are too many exemptions, allowances and cliff edges which disincentivise small businesses and affect productivity.

Simplify the complex UK tax system for small firms. There are too many exemptions, allowances and cliff edges which disincentivise small businesses and affect productivity.

Give the small business communities the skilled workforces they need to grow and thrive

Expand the remit of the Small Business Commissioner to include digital skills. Introduce tax breaks and work with partners to improve access to digital, financial and business training and expand the apprenticeship levy to a wider skills and training levy.

Expand the remit of the Small Business Commissioner to include digital skills. Introduce tax breaks and work with partners to improve access to digital, financial and business training and expand the apprenticeship levy to a wider skills and training levy.

Ensure small businesses, accountants and bookkeepers are represented at the highest level

Appoint a Cabinet Minister responsible for fighting for small businesses. As part of that, data-driven insights to inform decisions will be critical, making use of Xero’s near-real time Xero Small Business Index.

Appoint a Cabinet Minister responsible for fighting for small businesses. As part of that, data-driven insights to inform decisions will be critical, making use of Xero’s near-real time Xero Small Business Index.

Deliver a customer-focused HMRC

Ensure that the HMRC is responsive to users - whether they are accountants, bookkeepers or small business owners - so they get the best service carry out tax compliance smoothly and simply. Part of this process will include co-creation with small business industry groups and ensuring HMRC is able to deliver any current or future regulatory changes such as Making Tax Digital.

Ensure that the HMRC is responsive to users - whether they are accountants, bookkeepers or small business owners - so they get the best service carry out tax compliance smoothly and simply. Part of this process will include co-creation with small business industry groups and ensuring HMRC is able to deliver any current or future regulatory changes such as Making Tax Digital.

Promote accountants and bookkeepers as trusted advisers to small businesses

Accountants are a small business’s most trusted advisor, and often the outsourced Chief Financial Officer. They operate in every community across the UK and are trusted advocates and mentors for business owners - they are the unsung heroes. This needs to be promoted more widely, and their voices need to be heard in policy-making.

Accountants are a small business’s most trusted advisor, and often the outsourced Chief Financial Officer. They operate in every community across the UK and are trusted advocates and mentors for business owners - they are the unsung heroes. This needs to be promoted more widely, and their voices need to be heard in policy-making.

Give small businesses the help they need to get the benefits from digital tools

If all small businesses, employing up to ten people, digitalised at the pace of the top 20%, then small business turnover would be £77.3bn higher, creating a further 885,000 jobs. Committing to a ‘Making Business Digital’ strategy will deliver higher productivity and a truly digital-led economy. Small business interests must be at the heart of this, with initiatives to help them digitalise at their own pace and with the right support. Whether that be via tax incentives, a ‘Chief Technology Officer’ as a service, scaling mentoring and advice schemes like Small Business Britain’s ‘Small & Mighty’, or regulatory drivers such as eInvoicing and digital ID.

If all small businesses, employing up to ten people, digitalised at the pace of the top 20%, then small business turnover would be £77.3bn higher, creating a further 885,000 jobs. Committing to a ‘Making Business Digital’ strategy will deliver higher productivity and a truly digital-led economy. Small business interests must be at the heart of this, with initiatives to help them digitalise at their own pace and with the right support. Whether that be via tax incentives, a ‘Chief Technology Officer’ as a service, scaling mentoring and advice schemes like Small Business Britain’s ‘Small & Mighty’, or regulatory drivers such as eInvoicing and digital ID.

Ensure that small businesses are part of the AI debate

Small businesses will be a major consumer of AI, which will help support them with efficiencies. It will become even more critical as small businesses look to digitalise. The small business user perspective must therefore be taken into account as part of the regulatory debate. The Cabinet Office Minister responsible for small business should also be the small business AI champion.

Small businesses will be a major consumer of AI, which will help support them with efficiencies. It will become even more critical as small businesses look to digitalise. The small business user perspective must therefore be taken into account as part of the regulatory debate. The Cabinet Office Minister responsible for small business should also be the small business AI champion.