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The Labour Party has promised to “pull down the shutters” for small businesses and entrepreneurs if elected in the UK general election.
The party announced on Friday it would overhaul the business tax system to support high-street merchants and crack down on late bill payments.
Labour leader Sir Keir Starmer said it was “stifling hard-working small businesses”.
The party first put forward plans in November last year setting out how it wanted to support small businesses in the UK.
The company has won praise from industry groups for its proposals for a business tax system that determines the tax levied on commercial facilities such as shops and cafes.
But it was not immediately clear what Labour would replace business tax with.
The government has passed new laws to eradicate late bill payments by forcing large businesses to report their payment practices, and reaffirmed its commitment to revitalizing high streets by cracking down on anti-social behaviour.
Tina McKenzie, policy chair at the Federation of Small Businesses (FSB), said: “It's good to see Labour addressing the issue of late payments,” and “attention will now be focused on the party's manifesto to see whether they will take a pro-small business approach.”
Previous FSB research suggested that more than half of SMEs surveyed in 2022 had experienced a payment delay in the previous three months.
Labor said on Friday it would also look to speed up the establishment of banking hubs to give small businesses access to the services of bigger banks.
Speaking ahead of a Labour event on small business on Saturday, Sir Keir said “Tory chaos” had left entrepreneurs facing financial uncertainty.
But Business Secretary Kevin Hollingrake said: “Rishi Sunak and the Conservative Party have a track record of taking bold action to support small businesses.”
He pointed to steps the government has taken so far, such as freezing business rates on accommodation, during the pandemic when lockdowns hit trade.
SNP economy spokesman Drew Hendry suggested Labour's plans were “empty promises” for Scottish small business owners.
He added that the SNP had already set up a Scottish National Investment Bank, but called for removing the “red tape, high costs and worker visa obstacles created by Brexit”.
Meanwhile, a Liberal Democrat spokesman said the Conservatives have “time and time again completely let business owners down” and would also consider a “complete overhaul” of the business tax system.
