Enterprise policies get only half a cheer

My Account
Logout

Create an Evening Standard Account

Use your social network

Save time by using your existing account to sign in to Evening Standard

We'll never share your information or post anything to your account without your permission

Welcome! Sign in here

Use your social network

Save time by using your existing account to sign in to Evening Standard

We'll never share your information or post anything to your account without your permission

Forgot your password ?

Registration

* indicates fields that are mandatory

Email *

Password *

Confirm Password *

First name *

Surname *

Postcode *

Country *

Mobile phone number

Username *

Gender *

Year of birth *

When you sign up...

You will have access to all our online competitions, discounted offers and can post comments on our site.

You will also receive The Weekender newsletter sent every Thursday - it’s full of fantastic offers and ideas for the weekend. You can update your email preferences in your account page when you log in.

Other newsletters and emails

Homes & Property Newsletter - Yes I want to receive the weekly email with all the latest news on property in the capital

Occasionally we would also like to send you relevant emails detailing specific offers either from ourselves or carefully selected partners. If you would prefer not to receive these then please tick the appropriate boxes below. We will never pass on your details.

I do not want to receive additional offers and information from the Evening Standard

I do not want to receive additional offers and information sent by Evening Standard on behalf of carefully selected partners

Terms and Conditions

* I have read, understood and agree to be bound by the terms and conditions of Evening Standard

Registration

Mail Sent for Registration Confirmation.

A confirmation email has been sent. Please activate your account by clicking on the activation link sent in your mail box.

Alistair Darling announced a string of small measures to help entrepreneurs, including increasing tax relief by £100,000 to £500,000 for firms in the Enterprise Investment Scheme. Employees will be able to claim greater tax relief under the Enterprise Management Incentive Scheme - up from £100,000 to £120,000.

He also created a £12 million capital fund to support women entrepreneurs and injected an extra £60 million in funds to the Small Firms Loan Guarantee scheme.

Darling also said that Anne Glover, chief executive of Amadeus Capital Partners, will lead a review into how small and medium-sized enterprises (SMEs) can win more contracts from the public sector. His aim is for 30% of contracts to go to SMEs by 2013.

John Wright, chairman of the Federation of Small Businesses, warned: "These plans will need to be backed up with real action." The FSB added that changes on CGT "have totally under-mined the Government's position with small businesses".

Tom McGinness of accountants KPMG said: "The Chancellor's Budget contained some very mixed messages. On the one hand he made many references to how he intends to help and develop the entrepreneurial sprit. However, he didn't address the issue of how an 18% flat rate CGT will be bad news for many SMEs." Darling's decision to press ahead with the plan to abolish taper relief for CGT came despite massive criticism from business and the City.

His original aim was to clamp down on the venture capital industry, which treated most of its profits as capital gains rather than income and so ended up paying just 10% tax.

But Darling's attempt to eradicate tax avoidance in one specific sector has had a much wider effect. Many owners of businesses and individual shareholders in quoted companies are selling up before the end of this tax year.

Darling did announce some concessions in January aimed at small businesses, notably that the first £1 million of gains will now attract tax at only 10%. But tax experts pointed out today that the concession only applies to entrepreneurs who have at least a 5% stake in a firm. Those with smaller stakes will still have to pay the new rate of 18%.