Energy costs biggest worry for over 30% hospitality businesses
The hospitality industry, which is referred to as the accommodation and food service activities industry, was more worried about energy costs than all other sectors, with 32.8% of businesses citing it as their main concern.
Furthermore, the research showed that almost a quarter (24%) of hospitality businesses viewed the inflation of goods and services prices as their main concern.
Business Name Generator analysed the latest available data from the Office of National Statistics (ONS) to reveal British businesses owners’ greatest concerns.
Despite £1.9bn lost in income to UK small and medium enterprises as a result of supply chain delays, worries regarding rocketing energy prices were found to be almost ten times greater.
Out of all sectors, one in five businesses cited rising energy prices as the biggest concern.
Almost nine in 10 (86%) of businesses reported some form of concern for their business in June.
Battling issues
Among these, the inflation in the price of goods and services emerged as the second most pressing worry, causing concern for 17% of businesses.
Close behind, 13% of businesses expressed their apprehension regarding the decline in demand for goods and services.
The analysis excluded microbusinesses with less than 10 employees.
Business Name Generator spokesperson Steffen Jainta said: “Cost pressures such as high energy prices are putting a strain on businesses. And with expenses rising across the board, firms are seeing margins shrink.”
Keeping costs down
He discussed how businesses could save money: “Usually, when your gas or electricity contract comes to an end, you’ll be automatically rolled over to a more expensive tariff.
“When you’re coming up to the renewal window of your current contract, the best tactic is to start shopping around – this is usually between one and six months before the end of your agreement.
“As well as switching tariffs, you can maximise your savings by planning an energy audit of your business. This will give you an overview of how your company uses energy and will help you to identify any areas of waste.
“Ensuring resources are allocated effectively can help keep these costs down. Using project management softwares will help you keep everything organised and allow you to keep track of expenditure so you can build a bigger picture of where your money is going.”
