Small Businesses Brace for the Autumn Statement
With interest rates climbing, energy costs spiking, and a fresh wave of UK firms folding, small‑biz owners are holding their breath, hoping the Chancellor delivers a lifeline on November 22.
The Pain‑Point Report
- Just under a quarter of small‑business owners fear they might have to shut shop if the market doesn’t recover.
- Energy bills can now cost SMEs up to 40% more each month compared to last year.
- Stretched finances: many are tempted to borrow from family or dip into personal savings.
Only Three Requests From Simply Business (And the CEO Who Calls the Shots)
1⃣ Energy Support for the Underdogs
Energy costs are heading into the stratosphere. When markets hit a peak, many firms locked in long‑term contracts find themselves paying an astronomically high price. The Chancellor should:
- Review subsidies for non‑domestic users.
- Focus help on smaller businesses that are drowning in utility bills.
- Keep the rates accessible and sane.
2⃣ Keep Those Business Rates Coming Down
The 75% rate relief for retail, hospitality, and leisure has been a lifesaver—until March 2024. But:
- Half of the UK’s small firms say rising taxes and inflation are eating profits.
- They’re pausing hiring, shelving expansion plans.
- Interest rates are still sky‑high, making loans feel like a bad dream.
3⃣ Pull It Off: Recover the £32 Billion Late‑Payment Debt
Late payments are costing SMEs a massive cash drain. The government claims that paying them on time could boost the economy by £2.5 B annually—yet SMEs think it needs more muscle.
- New measures: more advice on late payments & extra reports from the Small Business Commissioner.
- SMEs want action that’s not just wise words.
The Bottom Line
Small business owners aren’t slacking on ambition—they’re starved by a confluence of tough circumstances. Still, three‑quarters remain hopeful. The task? slot small businesses firmly into the national growth recipe, so their future can truly shine.
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