Accountancy firms urged to step up support for businesses

The boss of Vibrant Accountancy believes accountants have a key role to play in supporting businesses, following recent funding cuts announced by the Government.

In his most recent Budget, Chancellor Jeremy Hunt revealed plans to cut  £10.5 million of funding for Local Enterprise Partnerships (LEPs) from April 2024, handing power from LEPs to councils.

Since the announcement, concerns have been raised that folding all the LEPs into local government risks losing a forum that currently brings together more than 2,000 business leaders, 350 further education, college and university leaders, and 200 local politicians in existing schemes.

There are currently 38 LEPs across the UK with the local one in Derby being the D2N2 LEP.

The aim of LEPs is to drive productivity and job creation led by a business chair and board members who are leaders of local businesses and public bodies.

Bev Wakefield, owner of Vibrant Accountancy, said: “Many businesses and clients are concerned about the potential loss of support for local businesses and the wider economy.

“Small businesses rely on the support provided by growth hubs and LEPs to help them grow and succeed.

“Without this help, many businesses could struggle to access the resources and expertise they need.

“This could, ultimately, lead to job losses and a slowdown in economic growth and job creation.

“I do, however, believe this is where accountants can step in, by helping provide similar functions that the LEPs provide on a smaller scale to our clients.

“This means that they will continue to get the support with growth hubs, and it will be even more of our role to ensure that we’re helping our business owners thrive and grow.”