Tax Cuts Move to the Top of SMEs’ Agenda Ahead of the Autumn Statement

SMEs Are Calling Out for Tax Cuts in the Autumn Statement

Fresh numbers from the small‑business lender iwoca reveal a clear message: tax relief is the number one priority for small firms!

What the Numbers Say

46% of SME owners want the Chancellor to announce targeted tax cuts for small businesses.
Following the dip in energy prices last month, 40% of respondents are looking for an energy price cap for businesses.
About a third (32%) of SMEs support an extension of the small business rate relief scheme.

Why It Matters

For entrepreneurs juggling tight budgets, tax cuts can be a lifeline. While lower energy costs are a welcome relief, many still feel the crunch of operating expenses and want the government to ease their tax load.

Bottom Line

When the Chancellor steps up to the podium, the appetite for fiscal relief is unmistakable—small businesses are ready to feel the weight lift.

SME growth remains stagnant

Small‑Biz Blues: Why the Tax‑Cut Call is Echoing through the Startup Scene

The Growth Scamper

Over the last 12 months, the small‑to‑mid‑size business (SME) universe has barely budged. Only one‑third (34%) of firms boasted a year of growth, while more than a quarter (28%) saw their revenues shrink.

Revenue Down‑Slide Breakdown

47% of those feeling the sting said it was the consumer slump—people just aren’t buying their products as much.
40% blamed rising costs—inventory, rent, wages, you name it—because the inflation machine has been grinding hard this year.

Why Tax Cuts Might Be the Lifeline

With profits dipping and cash flow tightening, an output of tighter taxes could give these businesses the breathing room they desperately need.

Impact of Government support

Stiff Times: SMEs Face Unhelpful Government Support

Over the past year, the economy’s turbulence hasn’t left small and medium‑sized enterprises (SMEs) feeling the love they deserve.

Only 26 % of SMEs say the Government actually helped them last year.
But less than 20 % (18 %) felt that the aid was enough for 2023.
In total, 42 % of SMEs think the support they’ve received is woefully inadequate.

Voices from the Front Lines

Christoph Rieche, CEO of iwoca:
“SMEs have shown incredible resilience during the cost‑of‑living crisis, but consumer spending is taking a hit.”

He adds: “The clear message to the Chancellor? Cut taxes and shield us from future energy spikes so we can keep trading through these uncertain times.”
Alex Rocha, Managing Director of The IT Partnership:
“With over 5.5 million SMEs driving jobs and growth, our success feeds society too.”

He shares real‑world experience: “Government decisions have hit my own business and the groups I work with. A mix of targeted tax cuts, incentives, and the right R&D credits will help ambitious SMEs scale.”

He stresses: “For tech firms, the Chancellor must rethink R&D incentives and essential skills funding. For high‑street companies, slashing business rates is a must.”