What steps has the Welsh Government taken to monitor the immediate impact on small and medium-sized enterprises, and to provide for targeted support over the next few months, given that March’s inflation rates remained high, and with the withdrawal of energy bills relief scheme for businesses at the start of April?
The Welsh Government is aware of the impact and consequences of high energy costs on businesses throughout Wales. Welsh Ministers have made representations to the Secretary of State for Energy Security and Net Zero and we have asked the UK Government to increase support to businesses trying to cope with increased energy costs.
On 4 April, I hosted an engaging and productive Energy Roundtable with representatives of energy supply companies and the business community.
Through Business Wales, we provide direct support for businesses facing uncertainties due to the cost-of-living crisis through a combination of online, telephone, 1-2-many and 1-2-1 business support which is tailored according to client need and the different regions of Wales, dependant on local requirements. The service is available to support existing businesses, start-ups and individuals who are considering self-employment and can be accessed digitally via http://businesswales.gov.wales, social media channels and the 03000 6 03000 helpline.
Business Wales also offers a wide range of advice and support on green policies, practices and resource efficiency as well as workshops. One-to-one advice includes energy efficiency, waste management, pollution prevention, legal issues and permits, environmental management systems and sources of funding. Resource Efficiency Advisers are available to support businesses to adopt or improve environmental strategies, and work with businesses towards creating a resource efficient and resilient business. A cost of doing business zone has been developed for the Business Wales website to bring together existing content and tools available to support businesses to reduce their use of resources and costs. This zone will act as the focal point for any future advice and support for businesses. The Business Wales website has a business finance zone offering specialised guidance and information to help people identify appropriate finance as well as a finance locator.
Business Wales Tendering Advisers help businesses become ‘fit for tender’ to improve their chances of winning public and private sector contracts, sub-contracting work on larger public-sector projects and securing places on public sector frameworks. Advice is also available on pipeline tender opportunities and how to work collaboratively to secure contracts. In addition, the advisors also help businesses understand public sector procurement, buyer needs and expectations, and how to make the most of the Sell2Wales portal, including help with registration and improving profiles.
The Development Bank of Wales can enable many Welsh businesses to get the finance they need to start, strengthen and grow and provides loans from £1k to £10m from a range of funds which support decarbonisation activities. They also help businesses find the right finance partner to leverage in private finance with its own gap finance when necessary. The Development Bank of Wales has recently launched a new invest to save offer called the Green Business Loans Scheme. With the ambition to invest £10m over the next 3 years, the pilot scheme will run for 3 years to March 2026 to provide green business loans, which will enable businesses in Wales to borrow money at discounted rates and on flexible repayment terms, so they can invest in measures to reduce their carbon footprint and energy bills. Businesses can use the money to improve the energy efficiency of their premises, invest in renewable energy technology or upgrade their machinery and systems to reduce their waste, water and energy use. In addition to the discounted loan offer, businesses utilising the scheme will have access to consultancy via Business Wales, to support them to decide what to invest in.