Report suggests Scottish small businesses could reduce unemployment figures

A new report created by economic consultancy Rocket Science, in partnership with the Federation of Small Businesses, has suggested that unemployment in Scotland could be seriously reduced if small businesses were given tailored support.

Nearly 94% of all businesses based in Scotland have few than 10 employees, known as ‘micro businesses’. The FSB states there are a total of 321,000 of these businesses in Scotland, which provide nearly 27% of all private sector jobs.

and this new report states strong evidence exists to suggest these businesses are not hiring as many people as they could.

The report calls for better help and support, including the practicalities of actually hiring a new employee. Earlier this year the government set up new national job creation schemes, but these don’t seem to be working well with micro businesses.

The report calls on the Government to introduce a new fund to provide constant support to micro businesses when planning recruitment, as well as obstacles associated with it.

A spokeswomen for the Scottish Government commented on the BBC: “Scotland is home to a wealth of ambitious companies, and small and medium enterprises are the bedrock of our economy – accounting for around 99% of enterprises and 54% of private sector jobs – and establishing a diverse base is vital to making our economy more resilient.”

Are you a small business looking to expand and hire more staff? Are you nervous about the current economic climate, or can you not find any funding to help you?