Lights out: Businesses on the brink as costs soar by 150pc

Across Norfolk and Waveney entrepreneurs are cutting opening hours and putting up prices - all while struggling to hire staff.

At a time when rocketing bills mean their customers have less money in to spend, nationally some 70pc have said rising costs are the biggest challenge facing their business.

A survey of more than 1,000 small firms carried out by online insurer Simply Business warns many "are having to put survival tactics in place as inflation hits a 30-year high and the cost of living soars".

The EDP's Your Money Matters campaign aims to offer help during the cost of living crisis (Image: PA Wire)

The Confederation of British Industry (CBI) said further hikes to energy bills could "push many viable businesses to the brink unless urgent action is taken to support them and their supply chains".

An open letter to the government signed by UK Hospitality and industry bodies warns: "Pubs, restaurants, music venues, nightclubs and hotels have reached the point where many venues are already reducing the hours they open their doors.

"Hospitality operators face average annual bill increases in excess of 300pc, putting at risk businesses and jobs."

The village butcher

Ali Dent plans to hang up his cleaver for good at the end of August (Image: Chris Bishop)

Ali Dent was planning to close the butcher's and general store his family has run in Hilgay, near Downham Market, for more than 100 years on Wednesday.

He blamed rising energy costs after his bills more than tripled from £200 to £600 a month, with monthly costs expected to top £1,000 a month over the winter.

But while he originally hoped to let the premises out while he put his feet up, the increasing cost of living means Mr Dent - who at 64 is three years away from being able to claim his £800-a-month state pension - needs something to help towards paying the bills.

He now plans to open A.J Dent on Thursday and Friday mornings with the help of a long-serving member of staff.

Fridge and freezer space is also being pared back to save on fuel bills.

Explained: "We had a big walk-in fridge we've turned into a store room and a walk-in freezer we've turned into a fridge.

"We've got a couple of chest freezers and we're going to open two mornings a week, so that'll save on the electricity costs.

"We've stopped delivering as well, so that's cut out the van."

The landlady

Dawn Hopkins, landlady of the Rose in Norwich, reckons the prime minister's idea of checking if customers have been vaccinated is just 'another level of ridiculousness.' (Image: Archant)

Dawn Hopkins, landlady of The Rose in Queens Road in Norwich, said pubs were caught between their own rising costs, those of their suppliers and leaving their customers with less money.

"When your bills go from £500 a month to £1,500 it's very difficult," she said.

"You either have to increase your prices or say enough is enough."

Ms Hopkins said the pub was currently on a fixed-priced contract for its fuel, so had not been impacted by the most recent rises.

"My concern come October is how much money my customers are going to have," she said.

"People are going to have to cut back and the thing they're going to cut back on is going to the pub and going to coffee shops.

"You'll probably find pubs will be open for less hours, they'll have to look at when they can open with less staff, with less lights on."

The seaside trader

Dale Skipper owns Glitter and Mud by The Quay in Wells. (Image: Archant)

Dale Skipper's business Glitter and Mud sells printed T-shirts, garments and gifts on the Quay at Wells.

While the summer has been good to the shop she opened six years ago, she knows there could be rougher seas ahead.

"I've always had in the back of my mind that we've come out of the fixed term with our electricity and we're going to have to swallow that," she said.

"It's going to go up a heck of lot because we don't have a fixed tariff anymore.

"We won't know how much it will be until our first bill comes in but it's going to be a huge one."

Mrs Skipper, who does not believe the government has a grip on the situation, said she might have to consider making changes to the business but is yet to decide what they might be.

She added: "We're just going to have to take everything as it come.

"I'm not going to start planning it and putting everything in stone yet."

The recruitment specialist

Tom Ginn (Image: Bread Hospitality)

Tom Ginn, founder of Norfolk-based speciality recruitment firm Bread Hospitality, had a more optimistic outlook courtesy of the power of the county’s independents.

He said: “It’s going to be a turbulent few months but I do think the county will come out the other side thanks to the brilliant independents we have here.

“We’ve already seen so much regeneration since Covid – just look at the Royal Arcade in Norwich.

“Businesses which have closed have been replaced with those with more of a leisure offering and I think we’ll continue to see that.

“We’ve got two markets in Norfolk – the more retail side like Norwich and then the tourism side on the coast. The coast has had a pretty solid summer of tourism. It’s not been a record-breaker but it will help to get them through.

“The impact of the cost of living we’re seeing in the recruitment side is that wages are going up by 15 to 25pc for roles like chefs. There was a shortage before the crisis and there’s still one now.

“The difference is that with costs going up, people don’t want to be buying petrol for an hour-long commute. So that is being passed on and we’re seeing increases there.

“Some venues are paying that though because they want to be fully staffed and get customers through the door.”