Welfare secretary Iain Duncan Smith has unveiled plans to create a extra 10,000 small businesses across Britain yesterday.

During his keynote speech to the conference he outlined plans to give grants to unemployed people who want to set up their own businesses, in a bid to boost the number of first-time entrepreneurs.

The welfare secretary said the New Enterprise Allowance (NEA) scheme would include mentoring to help people get their new company off the ground, as well as a financial package worth up to £2000.

Members of the NEA scheme will get access to a low cost loan of up to £1,000 to help with start-up costs, as well as a grant worth up to £1,000, paid out in weekly instalments for six weeks.

"If you have been unemployed for six months and want to start your own business we want to support you. We will provide business mentoring and a financial package worth up to £2,000 to get your business up and running. We want to see 10,000 new small businesses by next year," said Mr Duncan Smith.