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The typical enterprise soundbite from politicians is that they want to make the UK the best place to start and grow a business. It was a line that appeared in all three major manifestos at the last election.

But what emphasis should be placed on the two aspects? Should we be encouraging everyone to become entrepreneurs? Or should we focus our efforts on helping existing enterprises grow? Whatever your stance on the right approach to deficit reduction, it's obvious the public spending won't play a major part in any recovery and so getting the decisions on small firms right will be critical to the future of the economy.

But the acceptance of the need to encourage an "enterprise-led recovery" is so widely accepted that few people stop to ask what it actually means. In keeping with the new administration's small government agenda—which is partly driven by ideology and partly by a lack of funds—it is increasingly obvious that whatever is done won't involve a great deal of government funding.

The reaction to the scrapping of Business Link suggests this minimalist approach won't upset many in the business community. While it is easy to find stories of businesses that received good and fruitful help from Business Link, a quick calculation reveals that taxpayers spent an alarming amount on each meaningful intervention.

There is definitely a sense in the new team at the department for Business Innovation and Skills (BIS) that the department's primary aim should be to create a culture that helps enterprise rather than gets in the way. And this starts with BIS staff. Minister for business and enterprise, Mark Prisk, is an experienced businessman, having run his own consultancy for a decade before switching to politics. Speaking at the London Stock Exchange this week at an event to celebrate recent entrepreneurial trade missions, Prisk talked about a scheme to send all BIS staff on a week's work experience in a small company. He himself is spending a day in five different firms and has already spent a day with 2008 Good Director Honours winner DIY Kyoto. Co-founder of DIY Kyoto Richard Woods, claimed Prisk had a good sense of the business, but was lousy when it came to making tea.

If you want a steer on the government's thinking on small business, you can do worse than pick the brain of former TV Dragon Doug Richard. His eponymous report into small business for the government is being implemented piece by piece.

For his part Richard is clear that an enterprise recovery doesn't mean everyone rushing to start a business. Despite running the School for Start-ups, Richard is clear that rapidly expanding existing businesses is the way to grow the economy.

Speaking at the launch of Made, the UK's first entrepreneurs festival that is taking place in Sheffield in September, Richard spoke of his ambition to raise the digital consciousness of UK businesses, something he considers essential if these firms are to realise their growth potential. And in typical Richard no-nonsense style he is putting his neck on the line at Made where he is running a 48-hour digital boot camp to get 300 businesses up to speed and full potential.

The future of the UK economy will rely on a mixture of new and existing businesses, but it is essential the government does all it can to make sure the climate and culture is right. Strange as it seems that may start with you allowing a civil servant into your office to make a few dodgy cups of tea.

Richard Cree

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