What action is the Welsh Government taking to help businesses and other employers meet the challenges posed by rising energy costs?
We are considering policy options ahead of discussions with UK Government, to determine our approach.
The UK Government holds the main levers, such as taxation, regulation and benefits, to address the current cost-of-living crisis. We know small and medium businesses favour mechanisms such as energy price caps, further fuel duty cuts, sick pay rebates and national insurance contribution reversals. Others want direct energy support grants such as those provided to households.
Our priority is to support businesses of all sizes to decarbonise as quickly and fairly as possible. We will continue to lobby UK Government to take further action on energy prices for both domestic and business customers.
Business Wales has specialist Resource Efficiency advisers that help Welsh businesses implement new practices and improve policies to take pro-active steps towards improving their sustainability, demonstrating their positive impact on the environment.
Through Business Wales, the Green Growth Pledge reaches out to SMEs to take practical actions, such as reducing vehicle use, increasing water and energy efficiency, and working with responsible suppliers that will help companies become more efficient, decarbonise and win new business.
We are supporting more than 85,000 properties in Wales in paying their rates bills this year, through the combination of our permanent relief schemes and the extension of our Retail, Leisure and Hospitality Rates Relief scheme. In 2022-23, the Welsh Government will provide £116m of targeted non-domestic rates support to businesses in the retail, leisure and hospitality sectors.
The Welsh Government is working with businesses in the retail sector to help them reduce energy consumption and thus reduce costs. Initiatives such as insulating business premises, using LED lighting and putting doors on fridges and freezers can help businesses reduce costs and be better placed to absorb increased costs of energy.