FSB: Government urged to support disabled people into self-employment

Friday, 5 December 2008 12:00 AM

More disabled people should be given the support to start their own business as part of current welfare reform proposals, according to the Federation of Small Businesses (FSB).

The FSB said the challenging economic climate called for innovative thinking around welfare reform, seeing job creation as an answer to rising unemployment figures and self-employment considered as a significant option for disabled people.

The FSB's biennial survey of 8,700 members showed that 16.5 per cent of people reporting a disability say that they started their company because they had difficulty finding paid employment, compared with those with no disability (10 per cent).

According to the survey, entitled Putting the economy back on track: work-life balance, independence, and flexible working from home were ranked as the most important benefits of running your own business. Home-based business provides a route to work for those who might not otherwise be contributing to the economy.

The figures also show that there are few significant differences in the typical business size, for turn over or employees, reported by the disabled compared to those who do not report a disability, indicating that disability is no bar to success and growth.

Dr Gary Packham, Head of Enterprise at Glamorgan University, where the report was compiled, said:

"It is important that welfare reform proposals include support for people with disabilities to start their own businesses. Most studies on work-life balance cover large organisations, while SMEs are largely ignored, despite the fact that they make up more than half of the private-sector workforce."

John Walker, National Policy Chairman, Federation of Small Businesses, said:

"People with disabilities should be given support and encouragement to start their own firms and contribute to the economy - especially as the figures show that there are barriers to getting into mainstream work. The FSB wants to see more disabled people not only in work but creating businesses and jobs. The Government should specifically look at making access to funding for people with disabilities who want to start their own business a priority and think through how to support aspirations to self employment when reforming the current welfare system."

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Notes

The FSB is Britain's leading business organisation with over 215,000 members. It exists to protect and promote the interests of the self-employed, and all those who run their own business. More information is available at http://www.fsb.org.uk

The report, entitled Putting the economy back on track: work-life balance, is the fifth in a series of five looking at the barriers that small businesses face in growing their firms. The report was written by Professor David Brooksbank and compiled by the University of Glamorgan. To view the document email sophie.kummer@fsb.org.uk or visit http://www.fsb.org.uk/

The FSB is working with the Leonard Cheshire Foundation over the coming year to ensure disabled people can make a success of self-employment and being in business. The FSB will also be working with the MS Society in 2009 to improve employment opportunities for people with disabilities and long term chronic illnesses.

Contacts:

Stephen Alambritis: 020 7592 8112/07788 422155
Sophie Kummer: 020 7592 8128/07917628998
Prue Watson 020 7592 8121/07825 125695
Marc Shoffman 020 7592 8113/07595 067068

For regional FSB contacts please go to www.fsb.org.uk/regions.

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