BURY business leaders are backing calls for measures to sustain survival and to build recovery in the country's small firms sector.

Bolton and Bury Chamber are supporting the British Chambers of Commerce which wants these issues to be at the heart of the forthcoming Pre-Budget Statement.

The Chambers submission, A Blueprint for Prosperity, represents the views of many Bolton and Bury Chamber members along with other companies from the 135,000 strong national Chamber network.

It announces a package of recommendations targeting aid to struggling manufacturers, supporting business compliance with Government regulation, and offering technology investment and training incentives to small firms.

Commenting on the document, Andrew Ratcliff, chief executive of Bolton and Bury Chamber, said: "2001 has seen a greater divide in our twin track economy and has been a year of pain for some companies, particularly local manufacturers. "While urging the Chancellor to deliver greater opportunities to help growing firms thrive, we are also looking to him to help those struggling to survive."

In their submission, the Chambers of Commerce detail measures the Chancellor should adopt to help viable businesses survive in the short term, including:

Allowing smaller manufacturers currently facing their worst cash-flow problems for almost ten years to defer payment of PAYE, National Insurance contributions and VAT, in a similar manner to those affected by foot and mouth

Reforming stamp duty, with reductions and exemptions for businesses downsizing to new, less expensive property, and for non-property transactions such as incorporation of a going concern

The Chambers also outline a series of proposals focused on raising long-term productivity for UK business, such as:

Government funded, pilot Mutual Support Networks, facilitated by the Chambers of Commerce network, with the aim of developing cross-company best practice, networking and resource sharing

Providing greater incentives both to employers and to employees to raise skill levels

Commitment by Government to shore up and support business investment by raising the current permanent first year capital allowance for small firms to 100 per cent, ICT investment and providing tax breaks against the cost of raising equity finance.

The Chambers' submission also reinforces calls from business for Government to lighten the regulatory load, including reducing employers' payroll burdens, particularly those of small businesses, or compensating them fully by allowing them to retain a small proportion of the income tax they collect.