Following the current UK government’s announcement of declining energy bill support for small businesses, the opposition party have outlined their plans to support SMEs.
The parliamentary party Labour, led by Sir Keir Starmer, have laid out plans to support small businesses, in the face of rising energy costs.
The Labour Party’s Plans to Support British Businesses
The proposed initiative would create a new voucher scheme to help businesses go green.
Rather than the dwindling energy bill support currently in place, Labour would introduce £700 million in small business grants for businesses to invest in energy-saving technology.
Moreover, for firms operating within energy intensive industries, an additional £1 billion contingency fund will be made available. In this, companies that meet the required criteria will be able to access immediate financial support.
Under Labour’s proposed plans, small business rate relief would also be extended – a move that is expected to save high-street companies over £5,000 in 2023.
Unlike the magical money tree that funded the furlough scheme throughout the COVID pandemic, the opposition party seems keen to outline how they would fund future projects, such as this.
A toughening of the windfall tax imposed on large energy firms would generate an estimated £13 billion.
Not only would this fund initiatives to support UK small businesses with rising costs, it would also provide much needed funding to help support domestic customers with exponentially increasing energy bills.
Jonathan Reynolds, Shadow Business Secretary came out in support of the proposed plans, saying: “It is clear only Labour has a plan to keep Britain open for business.
“While the Conservatives lurch from crisis to crisis, Labour will lower business costs for good, helping small firms go green to save on energy bills.
“Firms are battling with rising energy prices, that’s why Labour will cut business costs now and help small businesses invest to ensure bills stay low for good.
“British business needs security and certainty and that is what they will get under Labour.”
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