Poll shows small businesses split and undecided over Europe

Are we in or are we out?

The Federation of Small Businesses (FSB) revealed (on 26 February) the results of a snap poll of more than 4,000 small business owners about attitudes towards staying in the European Union or pulling out.

It showed the small business community is as divided and in need of as much information as the rest of society.

FSB found that 42% of this sector remains to be swayed one way or another.

The FSB members were asked in the survey how informed they feel about Europe. Just over half (52%) said they do not feel well informed. When asked what they needed more information on, almost half (48%) wanted the same sort of information as the rest of society, notably on the economic impact of staying in or coming out. Of course, there is no clear answer to that. It is one of the main arguing points of the 'in' and 'out' campaigners. Voters will have to make up their minds which arguments they find most convincing.

Mike Cherry, Policy Director for the Federation of Small Businesses, said: “This high response from FSB members shows first and foremost the issues that will impact how smaller businesses will vote in the EU referendum. Three out of four (75%) FSB members raised EU governance as an issue – ie how decisions are made within the UK and the EU - as the area that would have the highest influence on how they plan to vote.

"Other areas that scored highly included the free movement of people (70%), the cost of EU membership (69%), the administrative burden of regulation (68%) and the economic impact on the UK (64%).”

The top 10 areas that the business people said would influence their vote were:

  1. EU governance (e.g. EU decision making)-75%
  2. Free movement of people (e.g. of EU labour, travel, tourism)–70%
  3. Cost of EU membership-69%
  4. Administrative burden on businesses as a result of complying with regulation-68%
  5. Economic impact on the UK-64%
  6. Trade with EU Countries-53%
  7. Access to the Single Market-49%
  8. Trade with non-EU Countries-48%
  9. EU funding-42%
  10. Competition-35%

Mike Cherry concluded: “Today’s wide ranging research sends a very clear message on what information small businesses want from both official campaigns once they are appointed by the Electoral Commission.

"Now the date is confirmed, it is clearly ‘game on’ for both sides of this debate.

"It is crucial that, once appointed, both the ‘Remain’ and ‘Leave’ campaign groups tackle this information deficit. Smaller businesses want to know the practical impact that remaining within or leaving the EU would have on their firms.

"FSB will be at the forefront of this effort, on behalf of our members, to get the information they need before they cast their vote.”