Dorset business officials welcome the new energy price cap but remain cautious about the future.
Both the Dorset Chamber, trading as We Are Weymouth, and the Weymouth BID welcome the news that the government will introduce an energy price cap for businesses next month, but they could do more. suggests there is.
On Wednesday, September 21st, the government announced an energy assistance package for businesses, schools, charities and other non-domestic users of gas and electricity.
This comes after months of high prices and will help businesses survive a harsh winter.
A system to reduce wholesale gas and electricity prices for companies for six months from October.
We Are Weymouth has been urging the government to address rising energy costs, fearing many businesses in Weymouth may face closure as a result of the energy crisis.
Following this week’s announcement, We Are Weymouth (BID) Chief Operating Officer Dawn Rondeau said: Industry is shielding them from rising energy costs with government pledges to offer discounts on wholesale gas and electricity through energy bill relief schemes and to work with suppliers to reduce wholesale energy costs. We welcome any help offered to protect it.
“We are pleased that the new scheme will provide us with lower electricity bills from October, providing certainty and peace of mind through the winter months. and will work with other BIDs to urge the government to go further and implement a 100% tax rate reduction and VAT reduction from 20% to 12.5% until March 31, 2023. We are working to give businesses that have just recovered from Covid a fighting chance.These measures, combined with the proposed energy discounts, will go some way to protecting our streets and economy.”
Ian Garling, CEO of the Dorsett Chamber of Commerce, said:
“Indeed, it provides the respite space many directors and owners needed over the winter, as we believe it mitigates the worst effects of the energy cost crisis and applies particularly at the source. , easier access and less red tape.
“But six months goes by really quickly. You need to plan for the time the cap expires so prices don’t just go back to where they were before. Many companies will then face a cliff edge and others will not be able to recover, especially those in energy-intensive sectors.
“Energy costs are just one of the factors contributing to the most difficult economic times since the UK left the EU, with businesses facing labor shortages, supply chain problems and generally rising costs. facing.
“These issues will not go away and the price cap is welcome but will require more support. We look forward to seeing what further support is provided in the Prime Minister’s mini-budget on Friday. .”
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