Biz message to Truss: SORT IT!

Andrew Denniff, chief executive of Barnsley and Rotherham Chamber of Commerce, said incoming prime minister Liz Truss would need to be “very, very pro-active” and “very much tuned into the realities of the real world, not the small cohort of people (Conservative party members) that has elected her”.

He pointed to a recent lack of action from government as the Conservative leadership election went on.

“Nothing’s happened for weeks,” Mr Denniff said. “It’s almost as if people are in denial that there’s a major problem here.”

Mr Denniff also said all staff at his organisation were set to receive a one-off cost of living payment in November because that was when they predicted the impact of the crisis would be most keenly felt across the country.

The business leader said while there were understandable concerns over the raising of the domestic energy cap, there was no price cap for businesses.

“It is a big issue within the business community at the moment,” said Mr Denniff.

“These are businesses which are still going through recovery from the impact of the pandemic.”

He said “not all, but a lot” of businesses were facing a “very difficult time”, due to a “toxic mix” of spiralling fuel and energy costs, Covid-19, rising inflation, no action on business rates, and the “fallout from Brexit”.

Mr Denniff said there was a shortage of hospitality workers, HGV drivers, butchers and abattoir workers.

“If we don’t fill those vacancies, that means the price of those roles goes up and it adds even more pressure on businesses,” he said.

Last month, Mr Denniff added his backing to a letter from the British Chambers of Commerce warning the government it was “running out of time to support businesses in urgent need”.

They want to see a five per cent cut in VAT and “Covid-style” support through an emergency energy grant for small and medium-sized businesses.

A spokesperson for the government said the energy price cap had been introduced after concerns “disengaged households were deliberately being charged excessive prices” but no evidence had been found of this in the business sector.

They said that preparations for action had been made by the civil service ahead of Ms Truss taking over, and added: “No national government can control the global factors pushing up the price of energy and other business costs, but we will continue to support businesses in navigating the months ahead.”