Regional business leaders have called for the Government to provide firms with certainty on energy costs after leaving them in an ‘unacceptable’ situation heading into Christmas.
The Coventry and Warwickshire Chamber of Commerce has joined the British Chambers of Commerce (BCC) in its plea for more information on the support that will be provided to companies when the current measures run out in March.
Corin Crane, Chief Executive of the Coventry and Warwickshire Chamber of Commerce, said: “The support for businesses on their energy bills has been absolutely crucial in the battle against rising costs – but it has to be continued.
“The Chancellor has already acknowledged that fact and said a new plan would be shared before the end of this year. Time is running out to deliver on that and businesses are, without doubt, feeling nervous about what they may be faced with come April.
“It’s completely unacceptable that businesses across our region are going into Christmas with the word recession looming large and they don’t know what their overhead costs are going to be in a few months.
“These are testing times in many ways for businesses across Coventry and Warwickshire and piling on more uncertainty does nothing to improve confidence going into the new year.
“We need the Government to provide an update very quickly.”
BCC Director General, Shevaun Haviland, said: “Just over a month ago, the Chancellor promised businesses that they would receive a plan on the future of the energy support package before the end of the year. With 24 hours left until Parliament rises, businesses have one simple question: ‘where is this plan’?
“According to a recent BCC survey, almost half (47%) of UK SMEs said they will find it difficult to pay their energy bills when Government support ends.
“Firms deserve far better from Government than broken promises for Christmas during these incredibly difficult times. They now face an anxious and uncertain festive period, unable to plan for the New Year.
“The Government has repeatedly assured us of their commitment to confidence and stability. However, their failure to stick to their promises and provide businesses with the certainty they need does not fill anyone with confidence, nor does it promote stability.
“Government is now left with two options. They can pull a rabbit out of the hat and come up with a plan before they break for Christmas. Or they must explain why they are leaving businesses in the dark.
“Without a clear plan before January, many businesses will be left vulnerable to extortionate prices at the end of March, especially SMEs and energy intensive businesses. Those businesses will have no choice but to start preparing their workforce for potential redundancies, leaving employees vulnerable and weakening the economy further.
“Now more than ever, we need to provide businesses with confidence so they can invest, grow and power the much-needed recovery of the UK economy in the months ahead.”