Family Businesses

Llinos Medi Excerpts

Wednesday 26th February 2025 Commons Chamber

[Llinos Medi (Ynys Môn) (PC)]

Small and medium-sized businesses account for 99.3% of all businesses in Wales. It is not simply their economic value that we measure, but the social and cultural value they create in our communities. Those businesses employ local people, keeping wealth in their area, and are a crucial part of a thriving community.

Small businesses have been under enormous pressure for several years. The Chancellor’s decision to increase employer national insurance contributions has placed huge financial strain on small businesses—a damaging decision that will cost jobs. The cuts to business property relief will also damage local businesses in Ynys Môn. Lewis Forecourts, a family-run business on the island for over 40 years, says that the change will have huge implications for its business. As a key employer, it will be restricted in job creation and growth. In a letter to the Prime Minister, it noted that that will mean less investment in infrastructure at their sites.

The Brexit deal pursued by the UK is particularly damaging for Welsh businesses. Wales is more reliant on trade with Europe: 58.6% of total goods exports from Wales go to the EU, compared with 50.3% for the UK as a whole. The Government must start removing those damaging trade barriers, a simple step that would help struggling smaller businesses.

As if that was not enough pressure, the Welsh Labour Government continue to charge higher business rates than anywhere else in Great Britain. The recent closure of Holyhead port for nearly six weeks had a significant impact on many small family businesses in Holyhead and Ynys Môn. Footfall in the town was down 40% to 60%, and businesses tell me that that is having a direct impact on their sustainability. It will clearly take time for Holyhead and the surrounding area to recover from Storm Darragh. The UK Government must recognise the huge long-term impact of the closure of the port on business and the economy in Ynys Môn, and I call on them yet again to establish a hardship fund to support businesses directly affected by the closure of the port.

We have wonderful businesses on the island. Last week, I visited Mr Holt’s chocolate factory in Llangefni, which makes magical and delicious Welsh chocolate with a colourful packaging. Mr Holt is giving a boost both to the local economy and to our rich culture. Finney’s, from Benllech, is today competing in the national fish and chip awards final, and I wish it the best of luck. There are so many hard-working family businesses on Ynys Môn, but after years of neglect in Government policy, many are questioning their future. I fear that the Government are prioritising large corporations over the small family businesses that are the backbone of the Ynys Môn economy. If the Government want growth, they must change track and prioritise our hard-working small and local family businesses.