In a report released by the British Venture Capital Association, the UK was pressed to follow the German example of investing in businesses to promote further investment and growth.

British Venture Capital Association with members including a number of major equity firms, warns in in a report, of the danger of increased regulation and the tightening immigration restrictions on the UK’s prospects for economic recovery.

The report also recommended that the UK moved away from imposing punishing capital requirements for banks that go beyond the increased amounts imposed by the EU.

The UK’s fiscal position remains precarious so there is a limit to what stimulus can be delivered without adding to an already large debt burden,” said Robert Easton.