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The Confederation of British Industry (CBI) is calling on the government to invest in transport infrastructure to help with small business growth in the future.

Indeed, Sarah Green - the organisation's north-east Regional Director - said that investment in transport infrastructure can have a significant impact on a local area's economy.

Furthermore, she believes businesses in the north will be able to prosper better if there were stronger links with London, helping northern cities to "punch above their individual weights".

"The construction of new railways, roads or broadband infrastructure creates jobs locally almost immediately," she added.

"It is estimated that even before new infrastructure becomes operational, the building of it is estimated to generate £2.84 to the economy for every £1 spent."

Meanwhile, GE Capital's latest Barometer found that smaller firms are set to recruit another 450,000 workers in the next 12 months, while investment is also due to rise by 23 per cent.

Posted by Thomas Fletcher

Date published 8 Nov 2012 | Last updated 8 Nov 2012

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