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Small and Micro business meaning

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What does Small and Micro business mean?
Describes very small undertakings used to tailor regulation, exemptions and reporting reliefs in practice. In UK legislation, where subordinate legislation made by a Minister of the Crown uses “small business” or “micro business” and expressly adopts the statutory meaning, the terms are defined as follows: - Small business: an undertaking other than a micro business with fewer than 50 staff, and either turnover or balance sheet total not exceeding the small business threshold. - Micro business: an undertaking with fewer than 10 staff, and either turnover or balance sheet total not exceeding the micro business threshold. The Secretary of State may set or amend these thresholds and related detail by “small and micro business regulations”. Any underlying provision may modify how the definitions apply in that instrument. These definitions are used across England & Wales, Scotland and Northern Ireland where the relevant subordinate legislation so provides. In Ireland, “small” and “micro” are also used, typically defined in Irish or EU legislation (for example in company accounting and SME regimes) by employee headcount and financial limits; practitioners should check the specific instrument.
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NEWS
UK public law weekly: Windsor Framework monitoring, Brexit SIs, key judicial review and human rights cases, DSIT Cyber Security Bill, information law rulings, and committee reports (13 November 2025)

In this issue: Brexit headlines Brexit SIs Post-Brexit transition guidance Constitutional and administrative law Equality and human rights Judicial review Information law State security and intelligence Other public law news Daily and weekly news alerts New and updated content Free webinars Dates for your diary Trackers Useful information Brexit headlines Cabinet Office publishes 1st Windsor Framework independent monitoring report The Cabinet Office has issued the Windsor Framework Independent Monitoring Panel’s inaugural report, addressing the UK Internal Market Guarantee for 1 January to 30 June 2025. Created under the Safeguarding the Union Command Paper, the panel verified that the guarantee was achieved: 96% of freight movements from Great Britain to Northern Ireland were deemed ‘not at risk’ and remained within the UK internal market, surpassing the 80% benchmark. Using HMRC data and stakeholder input, the report highlights gaps in guidance, weak communication of regulatory changes, administrative burdens within tariff...

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View the related Practice Notes about Small and Micro business

PRACTICE NOTES
Outsourcing and TUPE in Great Britain: SPC/business transfer tests, ELI, consultation, dismissals, variations and risk allocation

STOP PRESS: The Data (Use and Access) Act 2025 (Commencement No 6 and Transitional and Saving Provisions) Regulations 2026, SI 2026/82 bring the remaining provisions of the Data (Use and Access) Act 2025 (DUAA 2025) into effect and operation. Measures concerning subject access requests, legitimate interests, purpose limitation, automated decision-making, international transfers and enforcement are in force and take effect from 5 February 2026, while those on penalty notices and complaints come into force from 19 June 2026, respectively. For further details, see Practice Note: Data (Use and Access) Act 2025—employment implications. This Practice Note will be updated shortly to reflect these changes. It examines the key employment law issues that may arise when drafting and negotiating outsourcing arrangements, with particular focus on the application of the Transfer of Undertakings (Protection of Employment) Regulations 2006 (TUPE), SI 2006/246...

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PRACTICE NOTES
TUPE 2006 (Great Britain): information and consultation duties, 2024 small‑business/small‑transfer variations, pre‑transfer redundancy consultation, special circumstances defence, employee liability information and remedies

Where there is a business transfer or service provision change amounting to a relevant transfer under the Transfer of Undertakings (Protection of Employment) Regulations 2006 (TUPE 2006), SI 2006/246, the transferor and the transferee have certain obligations to inform and consult This Practice Note explores the obligations to inform and consult under TUPE 2006, setting out what amounts to a relevant transfer, who must carry out the duties (transferor and transferee), and who must be engaged in the process... Affected employees and any proposed measures Appropriate representatives, including trade union and employee representatives, and arranging elections The rights of appropriate representatives Variations for small businesses, small transfers and TUPE microbusinesses The duty to inform and the duty to consult Pre-transfer collective consultation about post-transfer dismissals under the Trade Union and Labour Relations (Consolidation) Act 1992 (TULR(C)A 1992) Post-transfer obligations Consequences of failing to inform or consult and the special circumstances defence The requirement to notify employee liability information...

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