UK Celebrates Small Business Saturday: A Boost for Local Economies

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December 9, 2025

Small Business Saturday saw communities across the UK come together to celebrate and support independent businesses. The annual event, held on December 6th, highlighted the vital role these enterprises play in local economies, encouraging consumers to shop locally, especially during the crucial Christmas period. The initiative aimed to raise awareness and drive footfall to high streets and local markets.

Key Takeaways

The government urged the public to support the UK’s 5.7 million small businesses.
Small businesses employ 60% of the UK workforce and generate significant turnover.
Local councils actively participated by visiting businesses and running social media campaigns.
Defence funding is being channelled into small businesses to foster innovation.
Politicians from various parties visited local businesses to show their support.

A National Effort to Support Local Enterprises

The government has been actively encouraging the public to patronise small businesses, recognising them as the backbone of communities and a significant contributor to the national economy. With 5.7 million small businesses employing 60% of the UK workforce, their success is intrinsically linked to the nation’s prosperity. This year’s Small Business Saturday was anticipated to provide a substantial economic boost, with projections indicating a significant rise in spending compared to the previous year.

Local Councils Champion Small Businesses

Local authorities played a key role in the celebrations. South Norfolk and Broadland District Councils, for instance, organised visits to numerous independent businesses. Councillors met with owners, highlighting the diverse products and services available locally and emphasising the importance of shopping local to sustain jobs and preserve the unique character of towns and villages. Social media campaigns were also employed to increase the visibility of local traders.

Defence Funding Fuels Innovation

In a unique development, Small Business Saturday also highlighted how defence funding is being used to boost innovation within small and medium-sized enterprises (SMEs). The Defence and Security Accelerator (DASA) has provided £35 million in funding nationwide since July 2024 to help companies develop and bring cutting-edge technologies to market. These innovations, ranging from blast protection systems to laser detection cameras, have dual-use potential, benefiting both defence needs and other sectors like healthcare and telecommunications. This initiative not only strengthens national security but also acts as an engine for economic growth, creating high-skilled jobs and bolstering supply chains.

Political Support for Small Firms

Members of Parliament from across the political spectrum actively participated in Small Business Saturday. Mims Davies MP was seen visiting businesses in East Grinstead, Uckfield, and surrounding villages, encouraging residents to shop local. Similarly, Liberal Democrat MP Caroline Voaden celebrated with award winners from her ‘Support Local’ competition in South Devon, discussing the challenges and opportunities facing small businesses. These visits underscore the cross-party recognition of the critical role small businesses play in the UK’s economic and social fabric.

Government Initiatives to Back Business

Beyond the annual celebration, the government has launched initiatives like the ‘Backing Your Business’ campaign, stemming from its flagship Small Business Plan. This plan includes significant reforms to tackle late payments, a persistent issue for many small firms. Other measures aimed at supporting businesses include energy bill assistance, freezing rail fares and prescription charges, making apprenticeships free for under-25s, and providing support for working parents. These efforts aim to create a more favourable environment for sole traders, start-ups, and established family businesses to thrive.