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London Wider Waste Strategy - London - Greater London Authority

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Recommendation 8: It is recommended that Government is lobbied to issue planning<br />

guidance to encourage developers to consider the way in which waste<br />

generated by their proposals is to be managed and transported, particularly by<br />

water, at the outset of the planning and design process.<br />

4.107. It is also understood that <strong>London</strong><strong>Waste</strong> has considered using inland waterways to<br />

transport their wastes in the future. They particularly mentioned the benefits of<br />

reduced impacts on local road networks.<br />

SME Activity<br />

Context<br />

4.108. Small and medium sized enterprises are extremely important to the UK, both in terms of<br />

number of employees and turnover. SMEs, including the self-employed, accounted for<br />

over 99% of the UK’s 3.8 million businesses at the start of 2002, as well as 56% of<br />

employment (12.6 million people) and 52% of total UK turnover (£1,100 billion)<br />

(source: SBS (Small Business Service) Statistics Team, SME Statistics for the UK). This<br />

included 1.6 million (i.e. 69%) self employed 12 .<br />

4.109. Data on the breakdown of <strong>London</strong>’s companies by size and sector was sourced from the<br />

Small Business Service web-site for 2001 (which is the most recent data with a sectoral<br />

split for <strong>London</strong>). This data has been compiled into two tables (percentages and<br />

absolute numbers) which are presented in Appendix C. From these tables it can be<br />

seen that in <strong>London</strong>, there were just under 673,000 SMEs in 2001, which represents<br />

99.8% of all <strong>London</strong> businesses. In terms of employees (including the self-employed),<br />

this was 43% of total workforce in <strong>London</strong>. And, in terms of turnover, this amounted to<br />

49% (£1,924.79 million). Therefore, it can be seen that the vast majority of companies<br />

in <strong>London</strong> are SMEs, and they account for just under half of the employment and<br />

turnover.<br />

4.110. It is useful to consider the different sizes of SMEs since there are considerable<br />

differences between a one person company and that with 250 employees. We have split<br />

SMEs into three size bands; i.e. micro companies with fewer than 10 employees<br />

(including the self-employed), small companies (10-40 employees) and medium<br />

companies (50-249 employees). From the tables in Appendix C, it can be seen that the<br />

micro companies account for the greater proportion of all (i.e. including non-SME<br />

companies) <strong>London</strong>’s companies (96%), with small and medium companies only a tiny<br />

proportion (4% and 0.6% respectively). In terms of employment, the micro companies<br />

are again dominant with 24% of all employment, with small and medium companies<br />

comprising just under 10% each. In terms of turnover, the micro companies are again<br />

the most dominant section of the SMEs with 19% of all companies, with the small and<br />

medium companies both at just under 15%.<br />

4.111. The tables in Appendix C also show the split of SMEs by sector in <strong>London</strong>. From these<br />

it can be seen that the agricultural, forestry and fishing sector is, not surprisingly, by far<br />

the smallest sector, with financial the highest, followed by services. Taking the<br />

commercial sectors as a whole 13 , the SMEs comprise 46% by employment (of both SMEs<br />

and non-SMEs), of which the micros account for 25% of all employment with an almost<br />

even split of around 10% each for the small and medium. In the industrial sectors,<br />

12 Self-employed is taken to include sole proprietorships, partnerships comprising only the self-employed ownermanager(s)<br />

and companies comprising only an employee director.<br />

13 i.e. wholesale, retail & repairs; hotels and restaurants; financial intermediation; real estate, renting and business<br />

activities; health; education; other services.<br />

41

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