London Borough of Brent

Transcription

1 LONDON S COUNCILS and their relationship with small businesses London Borough of Brent A Report for the Greater London Region of the Federation of Small Businesses by the FSB s London Policy Unit December 2010

2 Survey Results Brent Introduction On October 20 th 2010, the Government announced the results of its Comprehensive Spending Review. Government departments and local authorities have all been forced to make significant cost savings to help tackle the nation s structural deficit. This has meant that for some time to come, many of the services and facilities which have been available to help small businesses and the self-employed will no longer exist or be significantly reduced in scope. In particular, the key functions which local authorities undertake in assisting economic development and job creation in the area need to be assessed to ensure the best possible value for money and to ensure that they are addressing the key needs of local businesses and residents. Against this backdrop, the Federation of Small Businesses felt that it was important to identify the key local issues which needed to be addressed and the perception which business has of the level of engagement which exists between Councils and the business community. In the autumn of 2010, we therefore undertook survey work, asking 660 VAT-registered business owners in London about the importance of a range of business issues and of their relationship with their local Council.

3 Methodology We used an independent research agency, The Demand Generation, to conduct a Survey with the aim of ascertaining the key issues and the levels of satisfaction with local councils in the 32 London boroughs and the City of London. Care was taken to ensure that the breakdown of this data, by both number of employees and business sector, matched the London business profile as closely as possible (using Business Link defined profiles). A total of 20 completed surveys were required for each of the boroughs, equating to a total of 660 completed surveys. Surveys were conducted by telephone between 24 th September and 1 st November For each business, it was necessary to confirm that the respondent was the primary contact for dealing with the local Council and to then confirm in which London Borough their business was located. Each contact was then asked a short series of questions that had been drawn up by the FSB specifically for this survey.

4 Accommodation & food Arts, Entertainment & Recreation & Other Business Administration & Support Construction Education Finance & Insurance Health Information & Communications Motor trade, transport & Storage Production Professional, Scientific & Technical Property Retail Wholesale About the Respondents Like all the other boroughs we surveyed 20 businesses in the borough of Brent. Industrial Sector SECTOR (percentages) London business profile* London survey respondents Brent business profile* Brent survey respondents * Business Link data headings

5 Size of Business Employee Numbers SIZE London business profile* London survey respondents Brent business profile Brent survey respondents * Business Link data parameters The large sample involved in the survey (660 respondents) and the close match between the sectoral profile of respondents and the profile of London s business community as a whole (as per the Business Link IDBR 2009 Research) suggests that the survey can be seen as robust statistical reflection of London s business community. In addition, the local respondents broadly represent the 95% of Barnet s businesses employing fewer than 20 members of staff.

6 Survey results All respondents were initially asked to choose their top two priorities within their local borough, with regard to issues over which the council had responsibility. The responses were combined to demonstrate their main concerns. On a London-wide basis it is very clear from these results that the top concern for business in London is parking with 37% of respondents choosing this as one of their top two priorities. The second priority was waste collection, closely followed by crime. It is striking that these figures broadly mirror survey work undertaken by the FSB of its London members 12 months ago. * * FSB Members Survey Agenda: 2010; London Policy Unit, November 2009.

7 We gave the respondents an option of other and no single suggestion gained more support than the 10 topics suggested. However, there were some key areas which were suggested across all 33 boroughs, such as, post office provision/closures, street/traffic management and maintenance, and anti social behaviour. When analysed by sector and size, parking, while important for all business, was particularly relevant for those businesses with 5-9 employees, and obviously most important for those sectors involved in delivery (e.g. retail, wholesale and construction). It is striking how the concerns and priorities of Brent s business community broadly match those of London as a whole. The FSB has called for actions which could help address many of the concerns highlighted by the survey respondents and we look forward to continuing to engage with the Council to address these issues.

8 Council engagement with local businesses We asked respondents to identify which of the following five statements best reflected their relationship with their local council. I have had no contact with my local council about issues which affect my business; I have contacted them about local issues affecting my business but got nowhere; I have contacted them about local issues and they were sympathetic; They have contacted me to ask for my views on local issues affecting my business; I do not believe they are interested in local issues which affect my business

9 London-wide, it is perhaps alarming that over half of businesses have had no contact with their local council about the issues that affect them. This would suggest either a lack of knowledge about the ways that local authorities and their decisions impact businesses. It is however, more likely that this reflects a general sense of disillusion about political structures and institutions. When analysed by size it is striking that while only 6% of respondents said they had been contacted by their council to ask for their views, 50% of businesses with over 250 employees had been consulted. This obviously suggests that councils are engaging with bigger businesses, and not their smaller counterparts. Equally, larger businesses had found local authorities sympathetic to their needs. Conversely, small businesses were more inclined to believe the council was not interested in their views on local issues. Certain industrial sectors, especially arts, entertainment & recreation, and manufacturing (production) have had more constructive dialogue while the motor trade, retail, wholesale and property had the least favourable opinions and experiences of council engagement. Brent Council should reflect that, while the number of businesses who have had no contact is below the London-wide figure, 25% of Brent businesses state that they do not believe the Council are interested in how local issues impact on businesses. Of equal concern is the fact that for businesses who contact the council and found them helpful, five contacted them and got nowhere. The Council should adopt and work to the principles enshrined in the FSB s Small Business Engagement Accord.

10 Which council service should not be cut? The survey was undertaken at the time of the Comprehensive Spending Review (CSR) and intense speculation about cuts in public services. We were anxious to ascertain which services provided by councils should not be cut. London-wide the top three areas were: 1. Waste collection 2. Crime 3. Street lighting and other streets maintenance Professional, scientific and technical businesses, and the education sector were particularly keen to see transport links maintained, and accommodation, the motor trade and retail were particularly concerned about any potential cuts in policing. The London top 3 broadly matched the responses from businesses in Brent. Key areas here, where services should not be cut or where charges should not be increased were led by local policing (mentioned by 30% of respondents), street maintenance and road cleaning and waste collection.

11 What things could the council do to make life easier? This was also offered as a free form answer and the results are consequently less easily quantifiable. However, we can identify certain actions which the council could do to benefit the business community. These included on a London-wide basis: 1. Improved traffic management and parking 2. More procurement opportunities 3. Less red tape 4. Improve street appearance and safety (less road humps, more CCTV etc) 5. Reduced business rates Locally, Brent businesses reported that key areas for council action included increased provision for business parking and traffic flow, greater support in reducing business rates, and a less rigorous regulatory regime. These are all areas where the FSB has proposed measures to support the business community. Such measures can be found at

12 Conclusions There are difficult times ahead. However it is vital that local councils consult with and listen to their business community. This will avoid expensive mistakes by making sure that what is spent is being spent on the right things to help business operate effectively and continue to support the local economy and local residents. The FSB looks forward to working with Barnet Council to address many of the issues identified in the survey. We believe that an increase in the Council s engagement with local businesses would help deliver improvements for local residents, the business community and the regeneration of North London. For more details contact: Laurie Payne Chairman, North London Branch, Federation of Small Businesses laurie.payne@fsb.org.uk Steve Warwick Chairman, Greater London Region, Federation of Small Businesses steve.warwick@londonpcsupport.co.uk Nick Winch London Policy Manager, Federation of Small Businesses nick.winch@fsb.org.uk