In addition to his responsibilities in the shadow cabinet, Mr Osborne is heir to Osborne and Little, his family’s successful wallpaper and fabrics business. He has stated publicly that growing up with first-hand experience of the firm’s fortunes has allowed him to empathise with the difficulties of running a business.

“I am flattered and delighted to have been nominated for this award. Small businesses are the lifeblood of Britain’s economy,” said Mr Osborne. “I believe that Government should be helping those running small businesses, not making their lives harder, as this Chancellor has done. A new direction is needed – one that helps small companies grow, instead of strangling them at birth.”

Over the past year, Mr Osborne has campaigned against the Government’s planned Capital Gains Tax increase, commissioned a report from the European School of Management into the state of small businesses in the UK and launched a deregulation taskforce with celebrity businessman Doug Richards, of the BBC’s Dragons’ Den fame. He has also set out plans for tax reforms, and formed the New Enterprise Council, an advisory body featuring many of the UK’s top entrepreneurs.

FPB member Tracy Hoather, whose courier firm Sameday plc is based in Knutsford, at the heart of Mr Osborne’s constituency, said that despite his commitments nationally, Mr Osborne worked hard for local businesses.

“People often worry about having a senior politician as their MP because of the amount of time they may spend outside their constituency, but Mr Osborne is always prepared to get stuck in on local issues,” she said. “Specifically, he sends out business questionnaires to poll local firms about the challenges they face. He then produces a report which you get back, along with a thank you.”

Mrs Hoather added: “That suggests he has got the gist of what you are coping with as the owner of a small business at a particular time, and that he has his eye on the ball in his constituency.”

The accolade, sponsored by England’s Regional Development Agencies (RDAs), recognises the work of the MPs and MEPs who have excelled in understanding and representing the needs of smaller businesses over the past year.

“Owners and managers of smaller businesses play an important part in the economy, creating wealth and job opportunities,” said Len Collinson, National Chairman of the FPB. “That is why we have chosen to encourage politicians to engage with them and to represent them by creating the Business-friendly MP/MEP Award.”

The award ceremony will take place in the House of Commons on the evening of Wednesday, 14 May. Owner-managers of smaller businesses who wish to nominate an MP or MEP should call 0845 130 1722 to request a voting form, or visit the FPB's website at www.fpb.org/award. The closing date for nominations is Friday, 25 April.

For more information about George Osborne MP visit his website www.georgeosborne.co.uk