Britain's small business owners' confidence has increased ... but running costs are still a concern for many

Whilst over eight in ten (85%) small business owners surveyed say they are feeling more confident[1] about the health of their business than this time last year, 58%[2] say they envisage tough times ahead - with managing to cover essential running costs still a worry for many.

The results are from a nationwide poll of small business owners who rent their premises.  When asked about the things that worried them the most about running their business at the moment, 41% said they are still concerned about inflation and the cost-of-living crisis; 39% about rent increases and one in three (35%) saying they are concerned about paying their energy bills as we head in to winter.  Just under a third (32%) say if their rent went up, they would have to move to a cheaper location.

When it comes to looking for rental premises, cheaper rent, good access and parking, and a central locationwere key considerations, with good facilities for staff on the wish list for a third of those polled (34%).  The energy efficiency of the premises was important for 36% those polled, with just under a quarter (24%) saying they’d consider smaller premises to reduce running costs and bills.

Nearly four fifths (78%) agree[3] they appreciated having an approachable landlord, though 74% agree[4]they only contacted their landlord in an emergency, and tended to leave any non-urgent business.

Just under two fifths (39%) felt their business premises weren’t energy efficient as they could be, with half (50%) saying the fact they rented, not owned, restricted their ability to better manage their energy usage and costs.  Small business owners said if they owned their own premises they’d put in better insulation, install light sensors, fit double glazing and upgrade their boiler.

When it came to managing costs, 95% small business owners polled who already have a smart meter say it helped[5] them better manage their energy usage and costs. Two fifths (39%) small business owners who rent their premises say they are aware they could ask their supplier about getting a smart meter, and are considering getting one installed.

Victoria Bacon, Smart Energy GB, who commissioned the survey for Smart Meter Awareness Week, said: “There are lots of smart meter benefits for small businesses.  They measure energy in near real-time, providing accurate billing, so you only pay for the energy you use, which can help with managing cashflow.  The data a smart meter provides can also give a business more control over its energy spend, help monitor energy usage and identify where cost savings can be made.”

When it came to the energy efficient measures they had made themselves, half small business owners polled (49%) had fitted LED bulbs, 42% upgraded their equipment with more energy efficient tech and a fifth (21%) had fitted heavier curtains or blinds.

Victoria Bacon, Smart Energy GB, added: “Whether small business owners rent or own their premises, they may be eligible for a smart meter.  If you rent your business space, but pay your own energy bills you can contact your supplier about getting one installed.  We’d always advise checking in with your landlord first, to ensure changes to your meters are allowed within your rental contract.”

Smart Meter Awareness Week is an annual campaign by Smart Energy GB for the private rented sector in Great Britain designed to help renters, landlords and letting agents better understand the benefits of smart meters.  This includes renters and landlords of business properties. 

Smart Energy GB has produced a Smart meters for small business who rent guide, which is available today.

[1] “Very confident” and “Somewhat confident” combined

[2] “Strongly agree” and “Somewhat agree” combined”

[3] “Strongly agree” and “Somewhat agree” combined”

[4] “Strongly agree” and “Somewhat agree” combined”

[5] “Significantly help” and “Somewhat help”