SUPPORT for York’s small businesses and jobseekers has been outlined to a senior politician on a fact-finding visit to the city.

Shadow Minister for Small Business Toby Perkins was given a first-hand look at City of York Council’s backing for entrepreneurs and traders and help for people to find employment.

He then chaired the first meeting of a business think-tank of Yorkshire Labour councils at the York’s authority’s HQ.

He met staff and job-hunters at employment and skills support service York Learning, formerly Future Prospects.

Mr Perkins was told about 100 people from York who began a Government programme aimed at getting them into work two years ago were now back where they started and still without jobs.

He said: “Supporting people with no access to the job market is one of the most important things a council can do, because the barriers to them finding work have to be removed.”

The Chesterfield MP also met the council’s economic development team to discuss its work with small businesses.

He said: “York Learning is a great idea, and the Yorkshire and Humber Labour Councillors Business Network’s aim is to share ideas and see if they can be implemented in other parts of Yorkshire.

“Authorities throughout the region all have different initiatives, and York is a perfect example of a council demonstrating how Labour will champion and support small business growth and jobs.”

Mr Perkins said access to financing remained the main obstacle for small businesses, saying: “The current banking structure is not delivering for growing businesses and is holding back untapped growth – banks say times are tough, they won’t lend to business, and that exacerbates the impact of the recession.

“This is why Labour wants to introduce a regional banking network, allowing local businesses to discuss their needs with local bank managers and access loans.”

York council leader James Alexander said: “We are working to support new business start-ups and the growth of existing York businesses to ensure the city provides a range of new job opportunities for residents. The role small businesses perform for the nation’s economy and in getting the country back to growth should not be underestimated.”