The cold freeze is continuing to have a bad effect on small firms and stores across Britain leading to many to back over their insurance policies in an effort to make sure that they have the best cover in place should they fall into financial problems due to a loss of revenues.
The FSB (Federation of Small Businesses) asked the Alliance and banks to work with them and support small businesses that will need some room to make amends during the winter season following poor New Year and Christmas sales.
The FSB stated that a combination of the public spending cuts, ice and snow, and the increase of the VAT in January will all push some SMEs towards financial problems that they may not be able to get back out of it without the proper support and guidance.
Many SMEs are already in trouble following the poor weather that has led to lower sales than expected and this is not expected to change as the businesses enter the New year therefore the FSB is asking the Government to extend its Time to Pay program that allows small businesses a little flexibility when paying taxes. The FSB has also asked banks to become more flexible when it comes to repayments and business loans that are owed to them.