South Norfolk MP Richard Bacon has called for the Small Business Service to be axed, as a new report finds the body’s influence in setting the government’s agenda has been limited.

Mr Bacon was speaking as the Commons public accounts committee published its report into supporting small business.

In October 2006, the Small Business Service (SBS) was downsized, losing its executive agency status and service delivery role in order to focus on influencing government policy affecting small business.

However, the report from MPs finds that the Confederation of British Industry (CBI) doubts the Small Business Service has the clout to deliver for small businesses, while a National Audit Office survey of government officials showed that the SBS’s influence is declining in setting the government’s agenda on small business issues.

Mr Bacon said today: “It seems unlikely that the SBS will get better results for Britain’s small businesses.  The CBI does not believe the SBS has enough muscle to deliver and government departments are clearly not taking the SBS seriously.  The SBS should be axed without delay”.

6 February 2007