Cost of living information for business

The Autumn Statement included a number of new announcements which will have an impact on businesses.

Key decisions include:

1. Business Rates multipliers will be frozen in 2023/2024 at 49.9 pence and 51.2 pence.
2. Upward transitional relief caps will support businesses which are facing a large increase in their Business Rates following the 2023 revaluation. The upward caps for 2023/2024 will be: 5% (small properties), 15% (medium properties), and 30% (large properties). A decision has not yet been made on what classes as a small, medium, or large property. Downward transition will be abolished, so rateable properties will see an immediate reduction in their liability if their rateable values are reduced in the 2023 revaluation.
3. During 2023/2024, Retail, Hospitality, and Leisure (RHL) relief will be extended to 75% of Business Rates liability, up to £110,000. The government has not yet confirmed which businesses will be eligible.
4. Businesses which lose Small Business Rate Relief or Rural Rate Relief due to an increase in their property's rateable value following the 2023 revaluation will have their bills capped at £600 per year from 1 April 2023.

Full details will be available on the Business Rates pages once the government has provided all the information we need.

The government has also announced that it will 'refocus the Investment Zones programme to catalyse a limited number of high potential clusters, working with local stakeholders, to be announced in the coming months. The existing expressions of interest will therefore not be taken forward.'

You can visit GOV.UK to find out more about tax reliefs and allowances available from HMRC if you run a business, employ people, or are self-employed.

You can read the full Autumn Statement on GOV.UK.

The government has announced an energy bill relief scheme to provide relief for non-domestic customers. Discounts will be applied to your energy usage between 1 October 2022 and 31 March 2023. Your supplier will automatically apply the discount, you do not need to contact us.

The government has announced the new 'Energy Bills Discount Scheme' for UK businesses, charities, and public sector organisations like schools, hospitals, and care homes. It will run from 1 April 2023 to 31 March 2024, and replace the 'Energy Bill Relief Scheme' which ends on 31 March 2023. Under the new scheme, all eligible UK businesses and other non-domestic energy users who have a contract with a licensed energy supplier will get a discount on high energy bills. Suppliers will automatically apply the discounts for eligible businesses. Visit GOV.UK to find out more about the Energy Bills Discount Scheme.

You might benefit from changing suppliers to get a better price, so use comparison sites to find the best deals. You can also speak to your supplier to see if your business could save by using more electricity outside peak periods.

Energy-efficiency measures in your business can reduce costs now, and help you invest in more efficient clean technologies for the future. The Net Zero Innovation Centre in Middlesbrough can support SMEs to transition towards a net zero future

Citizens Advice also offer useful tips and information on what to do if your small business can't afford its energy bills.

Large companies may qualify for the Energy Savings Opportunity Scheme (ESOS).

The Federation of Small Businesses (FSB) finance hub offers practical guides and tips on managing business finance and guidance on the cost of doing business crisis.

British Business Bank also provides guidance on how businesses can tackle the cost of living.

Looking for payment plan options and relevant financial support is useful to help manage business cashflow.

The British Business Bank's Recovery Loan Scheme helps UK businesses to access finance to help investment and growth.

Accountancy and business support firm Azets UK has provided a financial defence toolkit to support your business through the expected economic downturn.

FRP Advisory has a comprehensive guide to tackling inflation and managing rising costs.

Consider your rent and rates for the commercial property you operate from. Speak to your landlord about your rent and the council's rates team as soon as possible if you’re having difficulties.

You may be able to get a payment plan in place for your rent, and your business may be eligible for small business rates relief. Find out more about business rates payment and discounts.

If you're worried about insolvency or feel that restructuring your business may increase resilience, specialist support can help. Cash flow problems do not always result in insolvency - get professional support from your accountancy firm and professional business services. FRP Advisory can offer a free initial chat to talk through your situation.

You can find out more on The Insolvency Service website.

Diversifying your offer into new markets can help you to build business resilience. The Business and IP Centre can help you to use market research tools (including GrantFinder), and provide face-to-face business support. To make an appointment at Middlesbrough's Central Library, visit the Business and IP Centre Tees Valley website.

The Department of Business and Trade provides funded guidance, events, and overseas trips to help you increase sales and enter new markets.

We want to work with our local markets to provide as many opportunities as possible. There are rules we have to follow when we're buying products or services, but you can find out more about selling to the council in the commissioning and procurement section.

Events, networking, and professional business support can help your business make the most of supply chain opportunities. Visit the Tees Valley Business website to find out more.

If you're a Middlesbrough-based business and you'd like to speak to an officer in more detail about your business circumstances, email invest@middlesbrough.gov.uk.