Government launches response to the Nuttall Review's recommendations on boosting employee ownership
30 October 2012
This afternoon the Government launched their
response to the recommendations made by Field Fisher Waterhouse
partner Graeme Nuttall
in his independent report on employee ownership. Deputy Prime
Minister, Nick Clegg and Minister for Employment Relations, Jo
Swinson announced an action plan to knock down the barriers
preventing more British businesses from becoming
employee-owned.
Today’s response sets out an action plan for
Government and key stakeholders to deliver Graeme’s key
recommendations, and includes commitments to:
- Establish an Implementation Group, chaired by
the Minister for Employment Relations, bringing together
representatives from Government, business and professional services
and the employee ownership sector to drive the implementation
programme
- Work with the employee and wider mutuals
sector, assessing the viability of setting up an independent
Institute to raise awareness of employee ownership
- Work with mainstream organisations including
the Institute of Chartered Accountants in England and Wales (ICAEW)
and the Law Society to develop simple ‘off the shelf’ templates for
setting up an employee owned company and make these readily
available through professional advisors, including working with
HMRC to consider the guidance available on tax issues
- Organise a Ministerial programme of regional
activity to raise awareness of employee ownership
- Develop a voluntary toolkit for employees and
employers to use when requesting and agreeing employee ownership in
a company
- Work with the John Lewis Partnership to
examine the barriers to funding for private sector employee-owned
companies.
Graeme Nuttall, a partner at law firm Field
Fisher Waterhouse says, "I am thrilled to see the Government's
endorsement of the Nuttall Review. Promoting employee ownership is
now clearly and firmly Government policy and will be achieved by
raising awareness of employee ownership, increasing the resources
available to support its development and reducing the complexity
involved.
"All types of employee ownership are
encouraged by the Government's action plan. I am pleased to
see the consultation on de-regulating and simplifying internal
share markets. Changes here will promote further uptake of
direct employee ownership. The simple ‘off the shelf’
templates for setting up an employee owned company are particularly
needed to promote the employee trust model. The toolkit to
request a discussion on employee ownership and the moves to raise
finance for employee ownership will help make it easier to
establish. The co-ordination with the Cabinet Office's public
sector mutualisation programme will amplify the effect of these
measures.
"There is much in the action plan that will
raise awareness, and assessing the viability of an independent
Institute, to raise awareness of employee ownership, is also an
important step forward. I look forward to heading up this
initiative.
"Employee ownership has been proven to work in
businesses of all sizes, in all sectors and at whatever stage of
the business life cycle. It delivers business performance
alongside employee well-being - a powerful, winning combination.
Employee ownership is not a special offer available only to
employees of a well known department store and supermarket, it is
available throughout the UK and has the potential to unlock growth
in the economy.
"I look forward to continuing to work with the
Government, the employee ownership sector and the professional
bodies who have all got behind this action plan, to drive forward
employee ownership into the mainstream of the UK economy."
For further information, please
contact:
Paula
Nugent, PR Executive, Field Fisher Waterhouse LLP on 020 7861
4526
Louise Eckersley, PR Manager,
Field Fisher Waterhouse LLP on 020 7861 4120
Notes to editors
1. BIS press release:
http://news.bis.gov.uk/Press-Releases/Action-to-boost-employee-ownership-sector-approved-68273.aspx
2. Sharing Success:
The Nuttall Review of Employee Ownership can be found at:
http://www.bis.gov.uk/policies/business-law/employee-ownership
3. Cabinet Offices Mutual
Ambassadors press release:
http://mutuals.cabinetoffice.gov.uk/cabinet-office-launches-ambassadors-programme-support-fledgling-mutuals