The Federation of Master Builders (FMB) ? the trade association for the building industry ? said the government?s declaration that every ?1 in ?3 is spent with small businesses ?only applies to central government contracts?.Sarah McMonagle, head of external affairs at the FMB, said: ?We want to see an increase in spend with small and micro firms across the board and by every public sector body. In many parts of the country, it is still the case that small firms are all too often squeezed out by larger competitors when bidding for public sector work.? She added: ?There are lots of good reasons why the wider public sector should spend as much as possible with small firms. In particular, using construction SMEs has been proven to provide real local economic and environmental benefits. SMEs employ local people, meaning that the money spent is likely to go to local suppliers and remain within the local economy.? It was suggested that in the construction sector two thirds of apprentices are trained by micro firms. This means that spending more with these businesses could help towards the government?s target of creating three million new apprenticeships by 2020. Read more on apprenticeships:
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- David Cameron asks for input from businesses on new apprenticeship levy
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