British entrepreneurs are facing mounting pressure from rising business costs and regulation, according to Entrepreneurs Circle founder Nigel Botterill, who warned that many small firms now feel “under attack” despite government pledges to prioritise economic growth.

Speaking in response to concerns raised by members of his Business Growth Central programme, Botterill said increases in business rates, employer National Insurance contributions and wage costs were placing growing strain on small and medium-sized enterprises across the UK.

“This is coming on top of higher minimum wages, increased national insurance and new employment legislation,” he said. “Businesses are being compressed from every direction.”

The comments reflect wider concerns among smaller firms over the cumulative effect of rising fixed costs at a time when many are already contending with weaker consumer demand and economic uncertainty.

Botterill said the mood among founders had become increasingly frustrated, with many feeling that efforts to grow, recruit and invest were being actively undermined. “As a business owner, it feels like the government are my opponents,” he said, describing a sense of exhaustion among entrepreneurs trying to maintain profitability while absorbing higher operating costs.

The entrepreneur, whose organisation supports thousands of UK business owners, said similar concerns were being voiced across multiple sectors, suggesting the pressure is widespread rather than isolated.

Despite the criticism, Botterill urged business owners not to retreat or accept declining margins as inevitable. Instead, he argued that firms would need to rethink their economics and operating models to remain resilient in a tougher environment.

“We’ve got to find ways to adapt and push through this,” he said, warning against reducing ambitions or accepting weaker profitability as the new normal.

The issue has also become a rallying point behind the launch of UK Small Business Week, a nationwide initiative backed by Entrepreneurs Circle that aims to highlight the contribution independent businesses make to local economies.

The campaign, scheduled to run from June 1 to 7, is intended to draw attention to the challenges facing small firms at a time when many owners feel increasingly squeezed by rising costs and policy changes.