THE Deputy Prime Minister wants to encourage more owners to sell business on to their staff.
Nick Clegg said employeeowned firms should be “hardwired” into the economy.
The Government plans to inject £50m into the sector from next year to boost new firms set up under employeeowned models. Mr Clegg welcomed a report by the Employee Ownership Association which makes the business case for more firms opting for employee ownership.
He said: “Companies where employees own a significant stake in the firm they work for have a combined annual turnover of £30bn, over three per cent of GDP. The Employee Ownership Association has ambitions for this figure to grow to ten per cent of GDP by 2020 and I welcome this.”
Mr Clegg said the Government would publish a consultation to assess the impact of tax changes benefiting all employees, not just those at the top.
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