Alan Sugar appointed Enterprise Tsar

In Gordon Brown’s cabinet reshuffle last week millionaire Alan Sugar was appointed ‘Enterprise Tsar’. He is now set to be nominated for a seat in the House of lords so he can join the Government.

It is thought he will advise the Prime Minister on how small businesses can be helped to cope with the recession.

The Federation of Small Businesses welcomed the move. John Wright, Federation of Small Businesses National Chairman, said:

"We welcome Sir Alan to his new role and are very pleased the Government has heard our concerns over bank lending. The appointment of enterprise champion, Sir Alan, with his stature and no-nonsense approach, should help compel the banks to lend fairly to viable small firms.

"Small businesses thrive on personal and direct relationships but their dealings with the bank manager deteriorated over the last year with increases in the cost of finance and firms being denied new credit. We look forward to working with Sir Alan to help him break down the barriers which have made it so hard for viable new and existing businesses to gain vital loans and overdrafts to help them survive and grow."

However, others in the media have expressed dismay at the appointment and called it a publicity stunt by the Prime Minister. One critic, Tracy Corrigan, Assistant Editor for the Daily Telegraph, said:

“If we must have an enterprise tsar, why Sir Alan, whose track record is mixed and whose manners are appalling? Is this really the image British business wants to present?”