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08
Sept 2022
Harrogate businesses 'still unable to pay energy bills' despite PM's pledge
Harrogate business leaders have warned that Liz Truss’s energy plan is “too little too late” to save struggling firms from closure.
The new prime minister today announced that annual energy bills for households will be frozen at £2,500 until 2024 as part of a huge support package which could cost up to £150 billion.
However, the scheme is less generous for businesses than had been expected as their bills will be capped for six months – a shorter period than many had hoped for.
Sara Ferguson, chair of Harrogate BID, said:
Energy prices have soared this year, largely due to the conflict in Ukraine which has reduced supplies of gas.
This has driven up the UK energy price cap which sets the highest amount suppliers are allowed to charge households and had been due to rise from £1,971 to £3,549 in October.
Unlike households, small businesses are not covered by the cap and Harrogate district MPs were last month warned that many firms would soon reach a “tipping point”.
Read more:
- Business group to help boost growth in Kirkby Malzeard
- Harrogate district business groups call for more support after new PM's energy announcement
Speaking in the commons today, Ms Truss said she was “acting immediately” in her premiership and that the support for businesses may be extended for vulnerable sectors after the six-month period.
Reacting to her announcement, David Simister, chief executive of Harrogate District Chamber of Commerce, said it would be "too little, too late" for some businesses.
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