TELECOMS has been seriously `depressed' over the last four years. Contributory factors include ongoing effects of `Y2k', the drain on the industry coffers following the purchase of 3G licences, and a general downturn in the UK economy. I believe measures include:

Telecoms - a kickstart to customer spending, eg tax relief for Telecom/IT spending, grants for `e-business' investments.

Innovation - the UK's entrepreneurs have little incentive to explore/experiment. Support for R & D exists, but is too complicated to be effective.

Tax burden/unpaid tax collection - last year's changes to NIC adversely affected all business. VAT is payable at point of invoice, not receipt of payment, putting pressure on cash flow. Collection of `endless' taxes results in unnecessary costs.

Training and qualification - incentives for `low cost' education/ qualification at middle and higher management levels. From example, the cost of completing MBA's is prohibitive to many. Grants are available to `under 24's, why not the more mature student?

Family-friendly working policies - extended maternity leave/pay, paternity leave, flexible working, and other `family friendly' policies, burdens SME's with seeking capable resource, often by way of expensive temporary contracts.

SME's cannot absorb much more before job losses are inevitable.

Yours sincerely

Maurice Lee