FSB: Firms find economy too risky for new jobs

Friday, April 23rd 2010

Many British businesses cannot afford to take on new staff because the economic situation remains fragile.

This is according to the Federation of Small Businesses (FSB), which found 63 per cent of members would not be employing new workers over the next three months.

John Walker, national chairman of the body, said: "Small firms are at the heart of the recovery but still need support if they are to get us firmly on that road to recovery and if they are to begin taking on staff again."

His comments come as unemployment was found to have risen in recent times.

On April 21st the Office for National Statistics revealed a 72.1 per cent employment rate with an unemployment level of eight per cent.

And 23 per cent of the 1,400 members surveyed by the FSB thought their business situation would worsen over the next three months.

Mr Walker called for assistance to help small businesses through this period and allow them to create more jobs.