Scots back family firms as sector's UK-wide trade body unveils new identity

Specifically, 51 per cent of Scots would prefer to work for a family business over the likes of private equity (11.4 per cent), PLCs (13 per cent) and venture capital firms (8 per cent). Those polled in Scotland also said they would rather buy from a family firm (37 per cent) than from any other type of business.

What’s more, the survey found that 71 per cent of people in Scotland and 80 per cent of people in Glasgow think the state should do more to support the family business model within policymaking. Across the UK, the figure was 55 per cent that felt the UK Government should do more to raise awareness and promote the family business model within policymaking, with nearly a third saying more support should be given to such firms.

The fresh data comes after Neil Davy, chief executive Family Business, which recently held its National Family Business Conference in Glasgow for the first time, said that “for too long, political decision-making has taken a restricted approach to prioritise decisions that respond to the needs of other business models, with a focus on PLC companies, whose priority is to meet shareholder demands for short-term returns on investments and not focused on decisions that benefit the long-term growth of the country”.

He also said the re-branding to Family Business UK will better reflect the organisation’s focus and goals whilst championing the interests of its members, provide additional support and highlight the wider role of family firms in society. The organisation has noted that such firms across the UK in 2020 boosted the economy by £575 billion, and were responsible for more than half of all private sector employment.

Prosperous

Sir James Wates, chairman of Family Business UK, said: “Our objective is to lead a movement of family businesses working to create a more prosperous and sustainable future for generations to come, positioning family businesses in the UK as an economic force that demands the respect of government and policy makers. We invite all family businesses to join us.”

Mr Davy also said: “Responsible businesses, like family businesses, need a vocal champion that showcases their strengths, supports them with their challenges and celebrates the role they play in society. As Family Business UK, we are committed to ensure their work and contribution is recognised and supported.”

Also commenting was UK Minister for Enterprise, Markets and Small Business Kevin Hollinrake, who said: “Family businesses play a vital role in the UK economy and are valuable and trusted components of our communities. As a sector that delivers jobs and training to local regions, they employ 13.9 million people across the UK and represent the best of British business. I look forward to continued engagement with Family Business UK to ensure that family-owned firms are championed, and can operate in an environment where all enterprises can flourish and grow.”