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Entrepreneurs 'need more encouragement' to increase staff levels

Published: Thursday, 24 June 2010   Category: Employer News

The government must make more changes if it intends to encourage UK entrepreneurs and private firms to expand their workforces, it has been suggested.

Chancellor George Osborne revealed in his emergency Budget this week that the threshold above which employers start to pay national insurance will rise by £21 above indexation from April 2011.

Steve Huxham, chairman of the Recruitment Society, expressed his satisfaction at the news but warned that it simply represents the first step in improving the country's employment opportunities.

He said: "One small step on its own isn't going to give entrepreneurs enough confidence to start employing people again.

"So I think you have to look at the wider view of what the government say they will do and not just the Budget."

Mr Huxham also said that the move was "positive" and progressive" in the context of Mr Osborne's hands being partially tied by his attempts to reduce the UK's huge deficit.

The Office for National Statistics revealed recently that the number of Britons in employment stood at 28.86 million at the end of April 2010.ADNFCR-1068-ID-19856351-ADNFCR

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