Stafford's small businesses face higher taxes as a result of this year's budget.

The small business sector is very important in the Stafford area. For many, the credit crunch is hurting both their finance lines and the spending power of their clients. The increase in tax paid by most small companies from 1st April (rising to 21% from 19%) will therefore be particularly unwelcome.

There are some compensations – a temporary increase in the amount of finance available through the Small Firms Loan Guarantee scheme, for instance – but this is scant comfort for firms facing their toughest time in years with rising energy and other raw material costs”

Ray Barron, who owns Marston Road Motors, told Jeremy that he was expecting a difficult time ahead: “This Government talks about its support for small businesses – but its actions show that they do not really care. Putting up the tax rate when things are tough makes no sense.”

Jeremy assured Mr Barron that campaigning for small businesses and the jobs they create for Stafford are among his top priorities.