Rising energy bills 'wiping out profits' mean pubs are facing closure

manchestereveningnews.co.uk:

A brewery boss has warned that soaring energy bills could force some pubs to shut. Andrew Turner, chief operating officer of St Austell Brewery, told Sky News on Tuesday that small businesses are facing a crisis, with soaring energy prices driving up operating costs and making it impossible for some owners to make a profit.

A further rise in the energy price cap was announced on Friday (August 26) by Ofgem, the regulator who calculate the price cap that applies if a household is on a default energy tariff.

However, Mr Turner explained that small businesses aren't protected by the price cap in the same way households are. “Unlike consumers, there is no energy price cap for small businesses therefore we are seeing spiralling costs for our tenants, pubs, and breweries,” Mr Turner said. “It is totally wiping out the profits they are making, which questions why on earth they would want to open their doors going forward.” Mr Turner said that he had heard from one tenant who saw their energy bills increase by more than 400% last week.

Without any small business alternative to the consumer price cap, operators could face runaway energy costs as the price of gas continues to surge.