A business organisation in Harrogate has called for more certainty after the new Prime Minister announced support for them in the face of rising energy bills.

While a clear package has been put in place for households, limiting typical household bills to £2,500 per year for two years, Liz Truss has said “equivalent support” for business will last for six months.

But local businesses have called for further measures and more long-term reassurance that they will be protected from future energy price hikes.

David Simister, chief executive of Harrogate District Chamber of Commerce, said:

“I welcome the fact the Prime Minister has included businesses in her support package, but for some it will be too little too late, and unlike households it’s just for six months. She could also have reduced VAT on energy bills, but didn’t.

“Businesses have had it incredibly tough for more than two years, and it isn’t going to get any easier. Surging energy costs are just one of the pressures facing businesses.

“When Ms Truss recently came to Harrogate, members of Independent Harrogate challenged her about business rates. Her response was that she would review them. This she needs to do urgently, along with looking at VAT, fuel duty, National Insurance and Corporation Tax.”

Mr Simister’s views were echoed by Ripon BID, whose manager Lilla Bathurst said:

“Whilst any support for businesses is welcomed, we feel that a six month energy price cap does not go nearly far enough to support businesses that have weathered the last very difficult two years.

“The majority of businesses in the BID area simply do not have the reserves to ride out any further cost pressures.  We very much urge the government to announce further meaningful and targeted business support in the next few days.”

Read more:

• Harrogate district businesses urge new PM to offer urgent support
• Dacre Banks pub gives warning as it faces £65,000 energy bill

Harrogate District Chamber of Commerce has warned the area’s MPs that many businesses will soon reach a “tipping point” and have to close as soaring energy bills hit the high street.

Chamber chief executive David Simister said in letters to Conservative MPs Andrew Jones, Julian Smith and Nigel Adams that he had “grave” concerns for the outlook of high streets with the worst of the energy crisis yet to come ahead of the looming recession.

Mr Simister urged the MPs to put pressure on the government to “act now” and provide support for firms “before it is too late”.

He said:

“Whilst the focus seems very much to be on the cost of living crisis for homeowners, there is little being said about industry and commerce, and what, if any support, will be given to prevent businesses being forced to shut.

“Very soon, the 12-month, 50% business rates discounts is to end.

“This again is going to heap more financial woes on those who pay this tax to central government.

“Coupled with the rising costs of raw materials, fuel, the living wage, and National Insurance, many businesses will soon reach a tipping point, and unfortunately for some the only option will be to shut.”

Unlike households, small businesses’ bills are not covered by the energy price cap, which is set to go up in October when annual bills will average £3,554.

The Labour Party has proposed freezing the cap at the current level of £1,971 a year for households until April when it is hoped prices may start to ease.

Read more:

• £70,000 energy bill increase forces Harrogate district farm shop to close
• Harrogate council could dip into reserves to cover soaring energy costs

The party argues this would ease pressure on households and potentially give a boost to businesses as shoppers would have more money to spend.

However, Liz Truss and Rishi Sunak – the two Conservative candidates competing to replace Boris Johnson as Prime Minister – have both rejected the plan.

The massive bill increases are already being felt by Harrogate district businesses and with further rises on the horizon, Mr Simister said many will simply not be able to cope with the double impact of shoppers cutting back spending.

He added these impacts were being felt even harder off the back of the covid pandemic which brought “two years of extreme difficulties for businesses”.

He said in his letter to MPs:

“For some, I fear the looming energy crisis, which is yet to bite, will be one storm too many to weather,”

“I urge you as our constituency MP to put pressure on your government colleagues to act now, not in two or three weeks’ time, to bring certainty, and hopefully some comfort, to business owners, including myself, who are incredibly worried.”

The three MPs have been contacted for comment.

A review of Harrogate’s hosting of the 2019 UCI Road World Championships should not be ignored in future, says a business group.

David Simister, chief executive of Harrogate District Chamber of Commerce, said he was pleased that the report, which was published yesterday, included the views of businesses.

Members of Harrogate Borough Council’s overview and scrutiny commission are behind the review, which will be considered at a meeting on July 4.

The report found that while there was a place for shorter events which “portray Harrogate and North Yorkshire in a good light, nationally and throughout the world”, residents and businesses considered the road closures for the UCI “unacceptable”.

One conclusion reached by the review was that there was a common perception that the event “effectively closed” Harrogate town centre.

David Simister (left), chief executive of Harrogate District Chamber of Commerce.

Following the publication, Mr Simister called for 15 of the recommendations included in the report to not be “simply ignored” at future events.

He said:

“This is a very detailed report and one that incorporates a wide range of views from a number of organisations.

“I’m pleased the experiences of businesses have been acknowledged and incorporated into the recommendations.

“And when Harrogate feels confident to host other major events, and I hope it does, these recommendations are not simply ignored, but used to ensure the town as a whole benefits, and that businesses, particularly those in the retail sector, are not left counting the cost.

“However, before committing to anything, I think it’s important to weigh up the pros and the cons, and also liaise with previous host towns to measure the impact it had on them.”

Read more:

• Review finds Harrogate 2019 UCI cycling championships ‘effectively closed’ town centre
• Council Stray repairs contract given under ‘urgent circumstances’

The recommendations include involving residents in planning events at an “early stage” and including the council on the board of large scale events.

They also include early engagement on large events and hosting short events in the district in order to “minimise disruption for local residents”.

In response to the report, a council spokesperson said: 

“It is positive to see that the review of the preparation, hosting and implications of the 2019 UCI Road World Championships for Harrogate Borough Council, residents and businesses, has reflected much of what was implemented as part of the event organisation.

“With an estimated global TV audience of over 250 million and almost 70,000 spectators, the 2019 UCI Road World Championships created a fantastic opportunity to showcase Harrogate and the surrounding district to both a national and international audience.

“Since the UCI Road World Championships – almost three years ago – we have hosted successful events and, through our destination management organisation, have a fantastic programme for the remainder of the year to further promote the district and support our visitor economy.”

Chancellor Rishi Sunak’s Budget has received a lukewarm reception from Harrogate District Chamber of Commerce.

Chief executive David Simister said there were “a number of positives”, such as the increase in employment allowance and the continuation of the rates reduction, adding:

“However, there was no relief in terms of VAT for the hospitality industry, which will go up to 20 per cent from April 1.

“And with the current cost of petrol and diesel, the cut in fuel duty is miniscule. National Insurance is in effect an income tax, and cutting this along with income tax should be the priority.

“Mr Sunak is gambling that business will grow and he can reduce taxes later, but corporate tax will still rise.

“In short, creativity is certainly geared towards delivering good news in election year, but in the here-and-now there’s little relief, and it’s orientated towards larger business.”

Masham brewery launches new beer for summer

Masham-based Black Sheep Brewery has launched a brand new beer ahead of the summer.

Called Refresh, the cask beer comes as part of the brewery’s seasonal range and will be made available in April.

Described as a fresh take on the classic British blonde ale, Refresher offers a light, fruity pint with layers of pulsating hop character.

Jack Scott Paul, brand and communications manager at Black Sheep Brewery, said:

“We’re really excited to launch Refresher, just in time for the spring season. Refresher is our own, fresh take on the classic British blonde ale, and we know this one will be popular with both cask beer lovers and those looking to try a new kind of pint.”

“As the name suggests, it’s sure to offer perfect refreshment and judging by the recent weather, there’s no better time of year to launch this new beer.”

Harrogate business groups set out wish lists for Spring Statement 

Harrogate business groups have given their thoughts on what should be included in today’s Spring Statement.

It has been five months since Chancellor Rishi Sunak announced his autumn budget but since then the country has been hit by rising living costs and now Russia is at war with Ukraine.

David Simister, Harrogate District Chamber of Commerce chief executive, said:

“Businesses are now facing unprecedented challenges in terms of rising bills; raw materials, wages, inflation, taxes, interest rates, fuel and energy bills. The Chancellor can bring some relief by hitting the pause button on increasing National Insurance, which will also benefit employees too.

“It would to be good to see Mr Sunak showing great creativity in approaching this crisis to deliver remedies that suit all with regard to finances.”

Sara Ferguson, Harrogate Business Improvement chair, said:

“As a business owner, what I want is for the Chancellor to announce measures that will help us, and not cause extra financial burdens

“During the covid crisis, Mr Sunak rose to the occasion, and he needs to do the same now. He needs to be bold and demonstrate that he understands the pressures we are all facing.”

Harrogate law firm appoints new managing partner 

Simon Morris has been appointed managing partner of Raworths Solicitors. He succeeds Zoe Robinson, who is stepping down after a decade in the role.

Mr Morris, who is a board member and the head of Raworths’ commercial team, will take on the role in April.

Mr Morris said:

“My priority going forward is to continue building on our strong team culture, delivering high quality work for clients and growing sustainably.”

Rachel Tunnicliffe, the firm’s head of private client, has also been promoted to senior partner with a focus on client engagement.

Hospitality business owners have called on Harrogate Borough Council to release government grants of up to £6,000 that were created to help them through the Omicron wave.

The Omicron Hospitality and Leisure Grant scheme was announced in December to help businesses that faced cancelled bookings and staff isolating over winter.

But almost two months later, some businesses in Harrogate are still waiting to be paid.

Two hospitality business owners, who asked not to be named, told the Stray Ferret they were unhappy that the council had not released the funds yet.

The Times published an article this week that said UK councils were sitting on over £850m of funds intended for businesses.

The Stray Ferret has seen an email from the council to one of the business owners dated a month ago. It said a decision on its application for the grant would be assessed within 10 days. The business owner called the delay “a joke”.

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David Simister, chair of Harrogate District Chamber of Commerce said “it’s simply not good enough” that the council has not distributed the grant yet to all eligible businesses.

However, he said some members of the chamber had received their grant.

Mr Simister said:

“From speaking to chamber members in the hospitality sector, some have received grants whilst others are still waiting.

“The announcement of Plan B dealt the leisure and hospitality sector a huge blow, just as businesses were gearing up for an extremely busy Christmas and New Year, and were relying on these takings to help them through the lean months of January and February.

“This grant was to go some way to recompense for the loss of trade and earnings, and if businesses are still awaiting payment it’s simply not good enough.”

A council spokesperson said:

“On December 30 initial guidance and eligibility criteria for the Omicron Hospitality and Leisure Grant scheme was provided to local authorities.

“Following this date, we have been carrying out the necessary work to make applications available, which went live on our website on January 17.

“We are now processing applications in the order in which they were received, ensuring applicants meet the necessary verification and audit requirements, in accordance with government guidelines.

“We are currently allocating grants to eligible businesses – who have provided a full and accurate application – within 20 working days.”

The number of people on out-of-work benefits in the Harrogate district fell by over 350 in May, a decrease of 10% on the previous month.

Figures from the Office for National Statistics show 3,185 people were claiming out-of-work benefits as of May 13 — down from 3,545 in April.

This accounts for 3.4% of the local population, which is below the UK average of 6%.

From May 17, indoor hospitality venues such as bars and restaurants were able to reopen with social distancing measures in place.

David Simister, chief executive of Harrogate District Chamber of Commerce, said:

“Any drop in the number of people unemployed has to be welcomed. However, I do fear that when furlough comes to an end the figure could well creep up again.”

Read more:

• Harrogate congestion at ‘breaking point’ even without Starbucks, say residents

• Roadmap delay pushes back return of Harrogate district Parkruns

Financial support for those out of work includes Universal Credit and Job Seekers’ Allowance.

Figures in the district have remained stable throughout the pandemic, which suggests the government furlough scheme has protected many staff from redundancy.

A Harrogate PR director has been named as the new chief executive of Harrogate District Chamber of Commerce.

David Simister, who founded Different PR in 2006, will take over the role from outgoing chief executive Sandra Doherty.

Ms Doherty, who took on the role in May 2016, is set to move to Northumberland and retire after selling her Alexa guest house on Ripon Road.

Read more:

• Bookings surge for Harrogate restaurants reopening next week
• Harrogate chamber seeks new leader as CEO stands down

Mr Simister, who is a former journalist and Harrogate borough councillor, said he was honoured to be taking on the role, adding:

“This organisation is one that represents not only the businesses of Harrogate, but those of the wider district. Its job is to give them a strong voice and one that will be heard, loudly and clearly, where it matters.

“Harrogate is home to a thriving and diverse business community, and I’m proud to say it’s where my business has been located for the last 15 years.

“My initial task is to plan the next 12 months, securing keynote speakers for our meetings who will share their experiences, on a wide range of issues, that will be of interest, and benefit, to members.

“I won’t deny that covid has not had an impact on the chamber, and another crucial task is to grow our membership. With the lifting of restrictions next month, we can once again meet in person, and it is the networking opportunities we offer that appeal to so many businesses.”

Martin Gerrard, president of the chamber of commerce, said:

“For the last 12 months, David has been our PR coordinator, and in that time he has grasped a thorough understanding of the chamber.

“When Sandra announced her imminent retirement, I asked David if he would consider taking on the role. He is incredibly passionate about Harrogate, his business is based here, he’s very well connected and knows the political landscape well.

“I’m delighted he agreed, and look forward to working with him as Harrogate district chamber begins another chapter in its long history.”

Mr Gerrard paid tribute to Ms Doherty, describing her as “a fantastic ambassador for the organisation”. He added:

“We wish her well in her retirement as she makes a new life for herself in Northumberland.”