The government is failing Britain’s countryside businesses and must do more to encourage rural start-ups, a business pressure group has warned.
At the end of its consultation period on rural development plans, the Department for Environment, Food and Rural Affairs (Defra) has been criticised by the Forum of Private Business (FPB) for a lackadaisical approach toward the issues facing small firms in the countryside.
The FPB blamed Defra for avoiding issues such as the failure to pay contractors involved in the Foot and Mouth outbreak and delays with the Single Farm Payment.
Cash flow is another problem in the countryside, said the lobby group’s chief executive Nick Goulding, who said Britain’s “rural economy is in crisis now and unless something is done to address the issue there will soon be no rural economy left to develop.”
“What is the Government doing to encourage start up businesses in the countryside? Where is the training and support for entrepreneurs? Why can’t small business in rural areas even find a cash point outside normal working hours?” he asked further.
Goulding added that Defra should examine how the rural and urban economies work together.
Colin Hair, who runs Dart Vale Veterinary Group in Totnes, Devon, agreed that the rural economy is in crisis. Cash flow is a big problem, he said, as many clients pay him late because they, too, are suffering cash flow problems.
Hair also said that there are very few young people going into rural business.
“In 20 years time there will be a real problem and something needs to be done,” he said.
“Meanwhile, more and more vets are moving away from farming. I know many surgeries that are giving up farm work. They are having to move their services away from the rural sector.”
