Thousands of small businesses will close if Government support for soaring energy costs is not extended past April, new research suggests.
The study by the Federation of Small Businesses found that a quarter of companies plan to close, downsize, or radically change their business model if the support is reduced in Spring next year. North East entrepreneur Martin McTague, chair of the national organisation that represents thousands of firms, called on the Government to extend the Energy Bill Relief Scheme (EBRS) beyond the end of March 2023 to avoid mass closures.
The findings have been presented to the Department for Business, Energy & Industrial Strategy and show firms in the accommodation and food sector would be particularly impacted (42%), followed by the wholesale and retail (34%), and manufacturing sectors (29%).
