The new mayor of London will have significant power over the economic development of the city, according to the Federation of Small Businesses (FSB).

London policy manager for the FSB Nick Winch says that the role of mayor is becoming more important because of the 'relatively adverse economic climate'.

Winch comments that he hopes the new mayor will recognise the strains facing the London economy and help to minimise the impact of the credit crunch.

He also calls on the new mayor to remove some of the obstacles that are in the way of small business in the capital.

'There's a crucial role of facilitating growth and creating a climate where businesses can grow and create new jobs and also where new businesses can come along as well,' he adds.

The main contenders for the London mayoral position are current mayor and Labour party candidate Ken Livingstone, Conservative party candidate Boris Johnson and former chief policeman Brian Paddick for the Liberal Democrats.