Part of the debate – in the Senedd at 5:05 pm on 1 December 2021.
Thank you, Deputy Presiding Officer. I'd like to thank my colleague Paul Davies for bringing this important debate to the Senedd today. It's been refreshing to hear all of your love and respect for small businesses, and finding out where you have your hair cut, Luke Fletcher, and where you buy your baps, Huw Irranca-Davies, as well as where you go for a pint, Gareth Davies. I'd like to echo my colleague Gareth Davies's sentiments that he mentioned earlier: there is absolutely no doubt in my mind, and I'm sure all of yours as well, that small and medium-sized businesses are the lifeblood of the Welsh economy, providing jobs to many and driving growth. It's a fact that 99.4 per cent of businesses in Wales are small and medium enterprises. Embedded in the communities that they serve, they contribute to a sense of community, identity, providing vital goods and services and contributing to local resilience, which has been invaluable during the pandemic. As my colleague Laura Anne Jones mentioned, they have adapted to all situations presented to them during the pandemic, and they genuinely deserve credit for that.
Small businesses in Wales are rebuilding and recovering at present from the effects of the coronavirus—it's no secret. But, in doing so, they do face a number of challenges. Problems in the supply chain are causing shortages, which I know from my discussions with representatives from the logistics industry, who are working tirelessly and very, very hard to address them one by one. The UK Government has announced a package of measures to ease these supply chain pressures, with up to 4,000 people being able to take advantage of training courses to become HGV drivers. I also welcome the recent announcement by the Welsh Government—yes, I did say something positive there—that £10 million is being made available to help train people in jobs in Wales hit by labour shortages, including HGV drivers and hospitality workers.
Essential to the recovery of small businesses is the need to keep costs down and address the growing skills gap. It is a matter of concern that the Federation of Small Businesses reports that 76 per cent of SMEs in Wales are facing rising operating costs. Thirty-eight per cent report that the lack of availability of the right staff is holding them back, and nearly a quarter of employers state difficulty in finding individuals with the right skills for the job is a struggle that's real.
To sum up, Deputy Presiding Officer, it's vital that the Welsh Government does all it can to create the conditions in Wales that will enable small businesses to grow and to thrive. I was happy to hear that the Minister is going to be promoting Small Business Saturday via social media, and that's great to hear. As my colleagues Paul Davies mentioned, the Welsh Government has made positive moves, but more needs to be done and can be done. James Evans and Luke Fletcher mentioned that they were the lifelines during the pandemic, for which I and I know every single person here will certainly thank every single person who's worked in these small and medium business, because, without them, many of us would have struggled throughout the pandemic. What Huw Irranca-Davies said when he was speaking was that we should celebrate them everyday, and I echo that and certainly believe that credit is due where credit is earned. Providing economic support, helping to reduce the burden of business rates and ensuring the supply of staff with the right skills will demonstrate it's our commitment to the development of smaller businesses, supporting our economy and building the strong and resilient communities we all ultimately want to see flourish and thrive all across Wales, and that is why I hope that you will all support our motion here today. Thank you very much.