Senior ministers, including Gordon Brown and business secretary Lord Mandelson (pictured right), discussed with business, union and regional representatives what more the government can do to help businesses and people survive the recession.

They pledged to listen to businesses and support them through “difficult times”.

Brown and Mandelson were joined by Chancellor Alistair Darling and secretary of state for innovation, universities and skills John Denham at the meeting of the regional economic council, held at the Department for Business, Enterprise and Regulatory Reform.

It was the second meeting of the REC, which first met in November.

Darling said: “In these tough economic times, our priority must be to reduce the impact of the slow-down on the whole of the UK and we are committed to continued investment to deliver for families and businesses across the country.

“Today’s meeting [was] a welcome opportunity to discuss with employers, development agencies, local authorities and unions what more the government can do to help people and businesses.”

Mandelson added: “It is vital that we listen to businesses and support them through these difficult times.

“Everyone across central and local government needs to work together to make sure we take effective action to support workers and businesses.”

The meeting coincided with a call by the government to small businesses to start the New Year with a ‘business MOT’, to ensure they are fit enough to get through the next two years.

More than 10,000 companies in England have already taken advantage of the free business health check service – delivered by Business Link – since it was launched in October.

Businesses are checked to make sure they are maximising their cash flow, marketing and business planning. They are also helped to produce action plans and are monitored to make sure the plans work.

Mandelson said: “In the current economic climate, it’s more important than ever for small businesses to take action before they find themselves in difficulties. So there’s no better way to start the New Year than with a free business health check looking at issues such as maintaining cash flow.

“Larger firms can afford advisers and accountants. We want to ensure that small businesses, with fewer employees and limited resources, benefit from the type of advice and support they need to plan for the times ahead and to come out stronger on the other side.”

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