Food businesses across the UK have been left in the dark as the government has suspended talks on tackling rising energy bills due to the passing of Queen Elizabeth II.
Although it appears this support for businesses will be equivalent to the £2,500 a year cap that has been announced for domestic energy bills, as indicated by PM Liz Truss, plans of how this scheme will work or be implemented have not yet been issued.
Each business can expect to see support over a six-month time frame, however for long-term support, many are unsure if they will qualify.
Similarly, those who signed multi-year deals at high prices with energy companies before the upcoming support was announced are also unclear on how they will be helped.
While thousands of businesses expected to hear news of the bailout within the next few days, many have now claimed the lack of information available is ‘frustrating’ as parliamentary business is not set to return again until 21 September.
British Meat Processors Association CEO Nick Allen told The Grocer: “There was very little detail in last week’s announcement and there has been an absolute black hole of information since, which is very frustrating.
“It feels like they are just moving the cliff edge. There is a lot of frustration. We are desperately short of information on how the support for businesses will work.
“They’ve said there will be further help going forward for businesses, but what does that mean?”
Also speaking with The Grocer, global energy generation company, Yelm’s MD, Ian Gadsby added: “The situation with the Queen’s passing means that the normal follow-ups from government have largely disappeared. We find ourselves in limbo land. There is very little details over what mechanisms will be used.
“Are companies that have locked into higher deals going to be able to get out of them? I think it’s impossible that companies will be able to get out of those deals without a penalty, but at the moment we just don’t know.
“Business desperately needs certainty.”
This news comes as the Association of Convenience Stores has called on the government to introduce measures that will help local shops survive the winter and remain open as energy bills continue to soar. Its CEO, James Lowman has called on the government to issue his three-point plan worth £575 million.
