A New Year message has been sent to the Government by the Federation of Small Businesses (FSB) in Yorkshire and Humberside to highlight the importance small firms play in the economy.

The message, A Small Business Action Plan for 2003, has been sent from chairman Tony Cherry. He said: "The message contains a proposal for action to each cabinet member to emphasise the importance of the small business sector to the region's economy."

According to the FSB more than 90 per cent of workers in the region are employed in small businesses.

Requests in the message include calls to keep faith with the pound, to resist erosion of flexibil-ity through EU employment legislation and a plea to stop proposed National Insurance Contributions (NICs) increases due in April. The FSB message also calls on Robin Cook, leader of the House of Commons, to introduce an annual small business debate and an annual statement from the Prime Minister on the state of small businesses.

Mr Cherry, who is also an executive board member of the Yorkshire and Humber Assembly, added: "We are asking the prime minister to note the economic crisis in the eurozone and to keep faith with the pound.

"We are asking the chancellor to rescind the NICs (national insurance contributions) increase for employers and the self employed.

"The chancellor's proposed one per cent hike on Class 4 NICs for the self employed, taking them to eight per cent, is in effect an increase amounting to more than 14 per cent, well above the rate of inflation.

"This takes Class 4 NICs back to their 1974 high when they were first introduced. We are sending the action plan to the Government because it will provide small businesses in Yorkshire and Humber with the stability and right fiscal environment to survive in what we believe will be a difficult trading year."