While Britain’s enterprising businesses struggle on, unloved by Vince, hated by the banks and rejected by the equity markets (with lots of regulators, VAT inspectors and Revenue officials knocking on their doors), a headline in this Sunday’s ‘Mail on Sunday’ can only bring disgrace to the idiots who are trying stimulate (without success) growth in the UK.
“Please ask us for some money says growth fund.”
This involves the ludicrous gravy train called the Business Growth Fund which is a £2.5bn initiative which so far has made NO investments. It targets businesses with turnover of £5m – £50m which gives you a clear idea that the founders have no idea where the growth potential lies.
What are they doing? I suggest you visit their pathetic website which starts with the words “Reading this could be the start of a new growth phase for you and your company”. Ugh!
What they have been doing is making appointments of high powered executives all over the place. There are now five regional offices, many top appointments including recently two regional directors in the North East and London and an Investment Director in Scotland. Oh, and why not, they have appointed a Director of Communications and Marketing.
Every one of these appointments will involve mouth watering contracts, offices, pensions and so on. It will cost a fortune to unwind it when it fails in its mission. By that time Ed (Balls) will be saying “It’s all George’s fault.”
The MoS article said the Fund is “urging more firms to ask it for money.”
What a farce.
The Treasury is tickled pink that it has obtained EU agreement to the proposed changes to the Enterprise Investment Scheme (“EIS”) rules. Tax relief is up to 30% and the annual investor limit is increased to £1m. George (The Chancellor) said “We want to make the UK the best place to start, finance and grow a business.” He has obviously never attempted the amazingly long-winded process of an EIS transaction.