Over half of customer-facing businesses will be forced to raise prices if the Energy Bill Relief Scheme is not extended, new research shows

Over half (51 per cent) of businesses with customer-facing premises such as shops, hairdressers, nurseries and cinemas will be forced to raise prices if the Energy Bill Relief Scheme (EBRS) is not extended, new research carried out by Opinium on behalf of Uswitch has shown.
Michael Crossland
By Michael Crossland
Published 9th Jan 2023, 16:45 BST

More than a third (40 per cent) said they would need to take more drastic action such as cutting staff, restructuring or closing altogether without additional support.

Jack Arthur, business energy expert at Uswitch for Business, said: “The new reduced business energy support will likely be a blow to millions of struggling businesses.

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“This decision, originally expected in December, is likely to most impact many smaller businesses that are much relied on by the public and are unable to shield themselves from further cost pressures."

Over half (51%) of customer-facing business such as hairdressers, gyms and restaurants will have to raise their prices without further support from the Energy Bill Relief Scheme, new research has shown.Over half (51%) of customer-facing business such as hairdressers, gyms and restaurants will have to raise their prices without further support from the Energy Bill Relief Scheme, new research has shown.
Over half (51%) of customer-facing business such as hairdressers, gyms and restaurants will have to raise their prices without further support from the Energy Bill Relief Scheme, new research has shown.

The EBRS is a government scheme that offers businesses a discount on their gas and electricity costs, introduced for an initial period of six months from 1 October 2022 to 31 March 2023.

The revised scheme is expected to offer help with bills for a further year, until March 2024.

Last week, the Chancellor explained that any future support post March, while at a lower level and cost, would be designed to help businesses transition to the new higher price environment and avoid a cliff edge in support.

The new scheme is expected to cost £5bn, compared to £18bn previously.