Ruffley's House of Commons question exposes colossal level of Suffolk small business failures

Tuesday, 15 May, 2007

David Ruffley MP has today released new figures which show that over a third of small businesses started in Suffolk since 1997 have subsequently ceased trading.

David Ruffley's latest parliamentary question to Margaret Hodge, Minister of State for Industry and the Regions, has revealed that 31 percent of all business start ups that began trading in the Bury St Edmunds constituency since 1997 ceased trading by 2005, the latest year for which figures are available.

Across Suffolk and the East of England the figure is even worse with 34 and 36 percent closing respectively.

The figures are taken from VAT registrations and de-registrations which the Government regards as the best official guide to the pattern of business starts and closures.

David said:

'It is startling that over a third of the businesses started in Suffolk since 1997 have subsequently failed.

'These new House of Commons figures reveal the true nature of the challenges facing small businesses in an uncertain economic climate.

'It does not help matters that this Government has bogged small businesses down under a pile of red tape. They have consistently failed to deliver on deregulation and now we can see the cost of their inaction.

'We must recognise that without small business our levels of employment and national wealth would be drastically diminished.'