John Longworth, director general of the British Chambers of Commerce (BCC), also welcomed the announcement.

BBC: Budget 2013: National Insurance cut 'to boost jobs'

Its director general John Longworth has called for a "new model economy" based on more spending on infrastructure and a rethink on access to finance.

BBC: UK Politics

John Longworth, director general of the British Chambers of Commerce (BCC), said the reforms in themselves would not help the wider problem of businesses gaining access to bank lending.

BBC: Osborne confirms banks must ringfence retail banking