The National Enterprise Network (NEN) has urged Chancellor Rachel Reeves to use this month’s Autumn Statement to deliver a new wave of support for Britain’s micro and small businesses (MSBs) — which it says are “the foundation of the UK economy” but increasingly constrained by rising costs and patchy access to finance.
Representing a nationwide network of local enterprise agencies and business support organisations that together cover 98% of the UK, the NEN is pressing the Treasury to take “decisive action” across four key policy areas: growth and investment, access to finance, skills and support infrastructure, and the net zero transition.
The submission comes as 5.45 million UK firms — accounting for over 99% of all private sector businesses — face mounting pressures from inflation, short-term funding cycles and the cost of digital and environmental adaptation.
“Micro and small businesses are the engine of the UK economy,” said Alex Till, Chair of the National Enterprise Network. “But their success depends on the ecosystem that supports them — the enterprise agencies, business hubs, and community workspaces that help individuals take their first steps into entrepreneurship. Without urgent action, we risk losing a generation of early-stage entrepreneurs.”
Four key policy priorities
Enabling small businesses to grow and thrive
NEN is calling for a Small Business Growth Allowance to encourage firms to reinvest profits in digital adoption, upskilling and capital investment, alongside expanded Local Enterprise Grants for rural and underserved areas.
It also proposes a Business Resilience Fund to help firms manage energy and climate-related pressures, and a simplification of access to existing government loans, grants and training schemes. The network is urging the Treasury to extend Business Rates Relief for the smallest firms in high-cost areas.
A particular focus is on the future of shared and managed workspaces, which NEN describes as “the first rung of the enterprise ladder”. Many of these community hubs — often run by not-for-profit organisations — are under threat from rising business rates and operational costs.
The group wants the Government to review the business rates treatment of co-working and managed spaces and to introduce dedicated relief for community and not-for-profit workspace operators.
Improving access to finance
The NEN is pressing for reforms to the Enterprise Finance Guarantee (EFG) to make smaller loans (under £50,000) more accessible, and the introduction of a Micro-Investor Tax Relief Scheme to encourage local private investment.
It also calls for greater awareness of Community Development Finance Institutions (CDFIs) and the creation of a Digital Finance Support Programme to help small firms modernise payments, invoicing, and cashflow systems.
Strengthening skills and support networks
The submission recommends funding Enterprise Skills Bootcamps — five-week intensive training programmes delivered through NEN member agencies — and expanding access to modular apprenticeships and digital skills vouchers in areas such as e-commerce, AI and online marketing.
To ensure long-term stability, the network wants a Support Infrastructure Stability Fund providing multi-year contracts for local enterprise agencies and business hubs, and a Capacity-Building Grant Fund to help them upgrade digital systems and impact measurement tools.
Accelerating the net zero transition
NEN’s final proposals focus on helping small firms manage the costs of decarbonisation. It calls for a Small Business Energy Transition Fund and temporary energy cost relief for microbusinesses in energy-intensive sectors.
It also wants targeted funding for local enterprise agencies to deliver Net Zero Readiness Advisory Services, helping firms comply with environmental standards while remaining competitive.
“Without action — particularly around business rates reform for shared workspaces and sustainable funding for enterprise support infrastructure — the UK risks losing the networks that sustain entrepreneurship at a local level,” Till added.
Central to the NEN’s message is the need for government to support the supporters — the local enterprise agencies and community business hubs that provide front-line help to Britain’s entrepreneurs.
By adopting its recommendations, the organisation says the Treasury can strengthen both the small business base and the infrastructure that underpins it, helping to secure a “more inclusive, innovative and resilient economic future” for the UK.
Read more:
National Enterprise Network urges Chancellor to back small business growth in Autumn Statement