What will the budget do for hairdressing?

Darling, can you help?

Will the Budget on 22 April answer all the small business community's prayers, or will it prove a damp squib? There can be few previous Budgets where so much pressure has been on the chancellor to deliver - but from past experience we know this doesn't always mean he will.

Salon owners across Britain certainly know what they'd like from Mr Darling.

Said Neville Ramsay of Ramsay and Johnson, Sunderland: "I'd like to see a further VAT reduction, which would help smaller salons save on their utility bills. The VAT threshold should be raised significantly to ease the burden on smaller businesses, while the minimum wage for small companies should remain the same - any increase is bound to impact on small businesses negatively and reduce their ability to employ young people."

"I'd like to see extended opportunities and incentives for apprenticeship and skills training," said Robert Masciave, of Metropolis Hairdressing, Kingston-upon-Thames, Surrey. "This would benefit local economies and prepare us for a more successful future with accomplished employees."

Hellen Ward, of Richard Ward Hair and Metrospa, London wants to see the government taking action to ensure local councils are capping business rates.

"So many businesses in our local area are folding every day and they need urgent help to stay trading," said Hellen. "Small business owners need practical, tangible help and the government should be listening to their needs and considering how they can prevent any more folding.

"Capping business rates would be something they could introduce now which would have a noticeable effect and help boost cash flow for small businesses."

Esther Prins, of Tommy's Hair Company, which has salons in Chester and North Wales said: "Small businesses could be greatly helped by the budget and I personally would like to see variable VAT rates. 

"I think that the UK should look to our European neighbours and begin to claim back on VAT items, which would make a huge difference, especially in the current climate.  I think it is important for small businesses to get something back."

Commented Eileen Lawson, secretary general of the National Hairdressers' Federation: "Our number one plea to Alistair Darling is to implement a 5% rate of VAT for the hairdressing sector, which he is now able to do following the agreement of European finance ministers on the Economic and Financial Affairs Council last month.

"This gave member states the option to apply reduced VAT to labour-intensive industries on a permanent basis. The chancellor could offer no better gift to our sector, leading to increased demand, more job opportunities and more training development."

Will Darling deliver? Based on past performance, probably not - lucky hairdressing is such a pro-active, creative and motivated industry that doesn't rely on the government for success.