Today, (Friday 26 August) energy watchdog Ofgem has confirmed the energy price cap will rise more than 80% in October. There is still no price cap in place for businesses. Responding to the announcement, Phil Smith Managing Director of Business West, said:
“As energy bills rise to unprecedented levels and businesses face uncapped energy tariffs, it is crucial that the government steps in now to support firms as consumers cut back on spending due to inflationary pressures.
“We have heard of some businesses who are facing increases in bills of more than 300% and some are questioning the viability of continuing.
“Some immediate measures the government could take include reducing VAT and business rates, introducing a cap on energy prices and providing grants for businesses to install renewable technology to help install their energy use.
“Our recent survey found that over half of businesses expect to raise their prices during Quarter 4, however there is only so far they can go.
“Businesses need strong leadership to help them weather this storm, and with energy prices set to rise even higher next year, now is not the time for complacency.”
We want to hear your views
Our Quarterly Economic Survey is now live. We want to understand the key issues facing your organisation now, as well as your outlook for the future.
What do you think the incoming government can do to promote your growth? How is your business being impacted by the energy price rises and what support do you need?
Find a link to the survey here.
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