THE Prime Minister and a governor of the Bank of England are backing a campaign by The Northern Echo and newspapers across the country to support young businesses.

The Local Business Accelerators (LBA) initiative, being staged for the second time following a successful launch last year, aims to highlight how local newspapers can assist businesses in achieving their growth objectives.

Also backing the campaign, to which more than 500 daily and weekly local and regional titles have signed up, are CBI director general John Cridland and Dragons’ Den star Deborah Meaden, who has agreed to be the campaign’s national ambassador. The initiative is pledging a total of £15m of free advertising and mentoring to the most promising companies.

Open to firms that have been running for between one and five years, the event is spearheaded by the Newspaper Society.

Winners from each region will progress to a national final, where they will compete for the chance to win a year’s business mentoring from Ms Meaden and an advertising campaign devised by a top London creative ad agency.

David Cameron said: “The LBA campaign has provided tremendous support to fledgling businesses across the country and I am delighted that it will be running for a second year.

“Local newspapers play a vital role in their communities and are uniquely placed to support small businesses, giving them the boost they need to grow – good for local areas and the economy as a whole.

“I hope more young businesses put themselves forward and get involved with this scheme, which rewards entrepreneurship and creative thinking in business.”

The Newspaper Society commissioned research from Toluna, which showed that despite the tough economic outlook, young businesses remain positive about their future, although they need support and advice.

Plus, more than a third of owners of young businesses expect some or significant growth in the next 12 months.

The biggest barriers to growth highlighted were high rents and rates, sluggish consumer demand, access to affordable finance and access to advice.

Newspapers remained the most important advertising forum for business owners, chosen by 22 per cent, followed by 15 per cent opting for the internet and 14 per cent for directories. Local newspapers were chosen as the most effective of all forms of advertising.

LBA offers businesses between one and five years old the chance to win a free advertising campaign in their local newspaper plus mentoring support from local business experts.

Adrian Jeakings, president of the Newspaper Society, said: “The inaugural campaign was a resounding success and this year it is going to be even bigger and better.

“LBA demonstrated that local newspapers have a unique ability to boost local businesses, energising and invigorating local economies as they do so.

“Local press and local business have been partners for decades and LBA aims to foster and develop that trusted relationship for the good of both parties.

“You only need to look at the successes experienced by last year’s participating newspapers and their partner businesses to understand this.”

The closing date is November 16. To enter the Local Business Accelerators competition in your local newspaper, go to the LBA hub at accelerateme. co.uk