Cost of Living: Support for Businesses
On 8 September the Government announced that businesses will have their energy costs capped for six months at the same price per unit as households.
After three months the cap will be reviewed and could be extended for certain industries, such as the hospitality sector, and vulnerable businesses.
A typical household will save an average of £1,000 a year on their energy bills, under a new two-year Energy Price Guarantee.
Businesses and public sector organisations will see equivalent support over the winter and new plans will tackle the root causes of problems in the energy market by boosting domestic energy supply.
The Government will provide energy suppliers with the difference between this new lower price, and what energy retailers would charge their customers were this not in place.
We will update this page with further details of the scheme once it is announced by the Government.
Support available for businesses:
Business Rates
Depending on the property you occupy and/or your business sector you may be eligible for a relief or exemption. See Get help paying your business rates for more details.
London Business Hub
To support businesses with rents, the London Business Hub is offering the Property Advice Service to help with finding suitable commercial space, as well as end of lease issues and rent negotiations. You can also browse Hackney Council’s affordable workspace list for a range of affordable, flexible and grow-on spaces in the borough.
London Business Hub has also published a series of practical guides on the steps you can take to protect your business, avoid cash flow problems, and manage business finances:
The RAC
The RAC have created the Ultimate Guide to saving on fuel.
Employment Allowance
The UK Government increased the Employment Allowance from £4,000 to £5,000 from 6 April to help SMEs.
Employment Allowance is a tax relief which allows eligible businesses and charities to reduce their National Insurance contributions each year.
Class 1 savings can be made each time there is a payroll run until £5,000 has been reached or the tax year has ended (whichever is sooner).
The Government estimates that around 50,000 businesses will benefit from the increase.
The Samaritans or The Listening Place
Services such as The Samaritans or The Listening Place can provide comforting, pressure-free and non-judgemental environments to listen to your concerns and offer advice.
The Samaritans provide 24/7 support, you can contact them on 0330 094 5717 or freephone 116 123.
The Listening Place operates from 9am to 9pm, Monday to Sunday, you can contact them on 020 3906 7676.
Energy costs advice
The South East London Community Energy co-operative (Selce) is a community energy group tackling climate change and fuel poverty across south east London.
It offers impartial advice services to help businesses navigate the transition to clean energy.
The Carbon Trust energy benchmark tool helps small and medium-sized businesses assess typical energy use in their sector.
It covers the following sectors:
hospitality
office-based
manufacturing
retail
leisure
The Carbon Trust also has a range of other online tools to help businesses reduce their energy consumption and costs:
Ofgem provides advice on how to get help if your business can’t afford its energy bills, as well as general energy advice.
Recovery Loan Scheme
The Recovery Loan Scheme, which originally launched in April 2021 to help businesses recovering from the pandemic, has been extended to 2024.
The Recovery Loan Scheme is currently open to small and medium-sized businesses to support them to access loans and other kinds of finance so they can recover after the pandemic and transition period.
Up to £2 million is available per business group.
The actual amount offered and the terms are at the discretion of participating lenders.
The government guarantees 70% of the finance to the lender.
As the borrower, you are always 100% liable for the debt.
Loans are available through a network of accredited lenders, listed on the British Business Bank’s website.
Debt advice and support
Business Debtline is a charity providing free and independent debt advice over the phone and online.
It also provides a range of debt advice factsheets on topics such as:
business rates
business debts
managing business finances
dealing with creditors
debt solutions