New government fund aims to increase female entrepreneurship and improve work-life balance

Women are setting up their own businesses at a faster rate than ever before, encouraged by the desire to have more flexibility in their family and work lives. There are now more than one million self-employed women – a 17% rise since 2000.

Some 75% of those polled in a survey of 1026 female entrepreneurs said that the work-life balance is better when running one’s own business, rather than being an employee. More than three-quarters (78%) said they had gained greater independence from setting up their own business, two-thirds had enjoyed increased confidence, and 60% said they had greater self-worth.

The survey was commissioned by Harriet Harman, the minister for women and equality. “Women want to call the shots,” she said. “They are recognising that being their own boss gives them control. Mothers often tear their hair out trying to balance earning a living with bringing up their children, and need more flexibility from their work. Setting up their own business can be that solution.”

But despite women making up half of the country’s population, they constitute only 27% of the total number of self-employed workers. “We need to encourage more women to take the plunge. We are determined to close this gap by providing solid support and encouragement,” Harman said.

The government has put £12.5 million in the Women’s Investment Fund, set up to inspire women-led businesses, which it hopes will stimulate matching private funds. It is also working with external partners, including the British Bankers’ Association and regional development agencies, to raise awareness and pilot women’s business centres.

John Hutton, the business secretary, said: “If the UK matched America’s level of women-led businesses, we would have an additional 900,000 businesses and 150,000 start-ups every year.”

Public-sector contracts for SMEs
The Department for Business, Enterprise & Regulatory Reform has announced a free trial to provide small and medium-sized businesses with access to thousands of public sector contract opportunities. Until 31 July, the website www.supply2.gov.uk will give new registrants access to contracts worth up to £100,000. Shriti Vadera, business minister, said: “Introducing small firms to government procurement contracts online will provide opportunities to grow that they would not otherwise have found. Encouraging more small businesses to register will mean buyers benefit from increased competition and access to a wider range of suppliers.” More than 3000 contracts are available on the site each month and registrants will have access to contracts across the UK, rather than in a nominated local area.

Anxious employers opt for temps
Businesses worried about the economic outlook are hiring temporary workers to fill vacancies, rather than risk taking on permanent staff. Vacancies for permanent staff rose at the slowest rate for almost five years last month, while vacancies for temporary staff rose at the fastest rate, according to a survey of 400 recruitment and employment consultancies by the Recruitment & Employment Confederation and KPMG. Alan Nolan, a KPMG director, said: “The figures show clearly that employers are shifting away from permanent staff to a more temporary workforce as a way of dealing with the economic uncertainty and financial crisis. Cost reduction is very much on the agenda, not only through the reduction of headcount but also through ways of reducing tax and national insurance contributions.”

Retailer calls for eco-tax boost
Bill Wright, energy and environment manager at John Lewis Partnership, has urged the government to improve enhanced capital allowances (ECAs). He told a parliamentary inquiry the scheme, which allows companies to write off the cost of energy-saving plant and machinery against profits, was so complex that few benefited. Wright said ECAs had helped John Lewis and Waitrose to become more energy-efficient, but would be more useful if they extended to the building fabric and promoted use of sustainable technologies and materials in refurbishments. He was addressing the All Party Urban Development Group’s inquiry into “Greening existing non-domestic buildings”, along with representatives from the UK Green Building Council and Carbon Trust, plus property firms including CBRE and Quintain.

Source

Building Sustainable Design

Postscript

For further information about on setting up your own business, go to www.businesslink.gov.uk and www.everywoman.com