‘Governments must work on shared prosperity’

sion.barry@walesonline.co.uk

WELSH small businesses want the UK Government to work with the Welsh Government on a Shared Prosperity Fund for Wales.

According to the business group the Federation of Small Businesses (FSB) firms also want to see a focus on negotiating an ambitious new trade deal with the EU, and building a flexible and fair immigration system.

The CBI Wales director, Ian Price, said that although the UK has left the EU future prosperity remains connected.

Mr Price said: “No deal has been avoided and a year of status quo gives time to shape that new relationship.

“It’s time to focus on the future and build a new relationship with Europe. This can reflect our shared values and mutual interest, and support bold global trade ambitions.”

The research from the FSB found the EU remains the number-one trading bloc for small business exporters (62%) and importers (55%) in terms of their future trading aspirations over the next three years. One in three (32%) small firms are already involved in overseas trade, with the vast majority trading with the EU single market (92% of exporting small firms and 85% of importing small firms). The US (46%), Germany (38%) and France (36%) are considered the most important individual markets for small traders over the next three years.

Ben Francis, FSB Wales policy chairman, said: “For three years, FSB Wales has been urging UK and Welsh Government to deliver on secure funding for Wales. Wales has long been a recipient of significant levels of EU funding, which UK Government has pledged to replace in the Shared Prosperity Fund. We have been working closely with both governments to make the case that Wales should receive at least the same levels of funding as it did as an EU member, and that the power to administer these funds must lie with Welsh Government.

“Furthermore, with little time on the clock to flesh out the crucial details needed to secure an ambitious deal that works for all of the UK. With only 11 months left before the transition period ends, small businesses will need a clear picture of where we are heading as quickly as possible. Time cannot be wasted.

“Attention must turn to negotiating a comprehensive free trade agreement with the EU – small businesses understand there will be some additional friction in trade with the EU after the transition period but want to ensure this is kept to a minimum.”