Tories spell out plan for small firms

In their election manifesto for small firms, the Tories also promise to end rules preventing social housing tenants from running a home-based business.

And they pledge to reduce the number of small businesses going bankrupt over small tax debts.

Conservative leader David Cameron used the announcement to attack Labour’s policies over the economy, which he claimed were holding Britain back from a recovery.

"The message that seems to be coming out of Labour at the moment is ‘don’t start a business, don’t buy your home, don’t try and leave money to your children, don’t try and get on’," he said.

"All of that is going to change," he added. 

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