FSB backs the bid
The Federation of Small Businesses has told Insider that it backs our campaign for the Northern Hub.
Richard Gregg, regional chairman for the FSB's Manchester and North Cheshire region, said: "Construction and infrastructure can be public sector-led and will have an effect on business. We are supporting the Northern Hub campaign."
The Northern Hub is a £560m scheme to transform railways in the North West. The proposals include the electrification of the line between Manchester and Liverpool and a new line to be built linking Manchester's Victoria and Piccadilly stations.
The scheme could boost the region's economy by £4.2bn.
Gregg has also called on the VAT to be reduced for construction in March's Budget, but says that the current government is "trying".
He added: "We accept that there needs to be a deficit reduction but we also need a stimulus. We'd like to see a VAT reduction for the construction industry."
Small businesses "should survive" in the coming 12 months, but there isn't much optimism about expansion, according to Gregg. "I think it’s a tough environment, but it deserves to be," he added.
