shlomo Posted August 7, 2022 Share Posted August 7, 2022 The energy price cap is a tool used by Ofgem to protect the consumer, not businesses. Energy Suppliers are now passing on their costs to businesses by increasing their business gas and business electricity costs. Some businesses have received quotes exceeding a staggering 70p/kWh, making operations extremely challenging. ------------------------- I have been wondering of the impact of the energy price increase on business activity, are lots of businesses going to shut down as cannot put the new cost on to customers Quote Link to comment Share on other sites More sharing options...
shlomo Posted August 7, 2022 Author Share Posted August 7, 2022 Continuing on from @fellow the cost to business Quote Link to comment Share on other sites More sharing options...
Locke Posted August 7, 2022 Share Posted August 7, 2022 Looks like one of those sweet shops in London which is just a money laundering front Quote Link to comment Share on other sites More sharing options...
FallingAwake Posted August 7, 2022 Share Posted August 7, 2022 8 minutes ago, Locke said: Looks like one of those sweet shops in London which is just a money laundering front Yeah. Why the need for the red splodge between "Going" and "Out"? Quote Link to comment Share on other sites More sharing options...
Blobsy Posted August 7, 2022 Share Posted August 7, 2022 (edited) My mate’s pub (quite a big space) had the energy prices go up an eye watering amount on the last hike. I think he’s fkked now. There will be zero profit once the energy costs are paid for most restaurants/bars. This cold season people won’t go out for a drink or a meal somewhere to sit in the freezing cold. How many others will go? Edited August 7, 2022 by Dogsy Quote Link to comment Share on other sites More sharing options...
A.steve Posted August 7, 2022 Share Posted August 7, 2022 1 hour ago, shlomo said: The energy price cap is a tool used by Ofgem to protect the consumer, not businesses. Energy Suppliers are now passing on their costs to businesses by increasing their business gas and business electricity costs. Some businesses have received quotes exceeding a staggering 70p/kWh, making operations extremely challenging. ------------------------- I have been wondering of the impact of the energy price increase on business activity, are lots of businesses going to shut down as cannot put the new cost on to customers I wonder if they've considered requiring all their employees "work from home" - so they can avoid having to pay commercial rates? What could possibly go wrong? I'm looking forwards to seeing the new 'work from home opportunities' for aluminium smelting and that sort of thing. I suspect that the focus on energy costs is a deliberate attempt to talk-down inflation. Traditionally, energy costs (especially fuel for transport and gas for heating - and, to a lesser extent, electricity) have correlated with the wholesale price of oil. https://www.reuters.com/markets/quote/CLc1/ Is talking up inflation expectations intended to drive up inflation? Is this a high-level strategy to drive up wages? Quote Link to comment Share on other sites More sharing options...
Will! Posted August 7, 2022 Share Posted August 7, 2022 3 minutes ago, Dogsy said: My mate’s pub (quite a big space) had the energy prices go up an eye watering amount on the last hike. I think he’s fkked now. There will be zero profit once the energy costs are paid for most restaurants/bars. This cold season people won’t go out for a drink or a meal somewhere to sit in the freezing cold. How many others will go? Doesn't sound very snug. Quote Link to comment Share on other sites More sharing options...
shlomo Posted August 7, 2022 Author Share Posted August 7, 2022 4 minutes ago, Dogsy said: My mate’s pub (quite a big space) had the energy prices go up an eye watering amount on the last hike. I think he’s fkked now. There will be zero profit once the energy costs are paid for most restaurants/bars. This cold season people won’t go out for a drink or a meal somewhere to sit in the freezing cold. How many others will go? How many businesses are profitable at the new energy prices Quote Link to comment Share on other sites More sharing options...
A.steve Posted August 7, 2022 Share Posted August 7, 2022 9 minutes ago, FallingAwake said: Yeah. Why the need for the red splodge between "Going" and "Out"? Perhaps it would have been clearer... if the photo had its original annotation: "Pedestrians walk past a store going out of business on Fifth Avenue in New York, U.S., on Monday, Nov. 16, 2009." Quote Link to comment Share on other sites More sharing options...
FallingAwake Posted August 7, 2022 Share Posted August 7, 2022 10 minutes ago, A.steve said: Is talking up inflation expectations intended to drive up inflation? Is this a high-level strategy to drive up wages? That sounds like a dog chasing its own tail. Quote Link to comment Share on other sites More sharing options...
byron78 Posted August 7, 2022 Share Posted August 7, 2022 (edited) Lots. And it's one of the things that jumped out at me (when the UK government were refusing any sort of windfall tax on oil revenues at all). Are we really going to throw the country under the bus for the banks and the petrobucks? Edited August 7, 2022 by byron78 Quote Link to comment Share on other sites More sharing options...
A.steve Posted August 7, 2022 Share Posted August 7, 2022 8 minutes ago, FallingAwake said: That sounds like a dog chasing its own tail. My point exactly. We are now in an environment where the rules-of-thumb, that used to provide an adequate approximation to the mechanisms that affect daily life, might no longer work very well. We're seeing fundamental questions being asked by those at the heart of government... including, for example, asking how the BoE remit should be set... and the extent to which the BoE should act independently of the Treasury. Quote Link to comment Share on other sites More sharing options...
pig Posted August 7, 2022 Share Posted August 7, 2022 37 minutes ago, Dogsy said: My mate’s pub (quite a big space) had the energy prices go up an eye watering amount on the last hike. I think he’s fkked now. There will be zero profit once the energy costs are paid for most restaurants/bars. This cold season people won’t go out for a drink or a meal somewhere to sit in the freezing cold. How many others will go? Ditto with a restaurant - not spoken to him yet but they were struggling with post Brexit staff issues. Heard on the radio that what many restaurants have done is shut down on less economical days so that increasingly might be a strategy to deal with energy costs too. Quote Link to comment Share on other sites More sharing options...
Nomadd Posted August 7, 2022 Share Posted August 7, 2022 22 minutes ago, byron78 said: Are we really going to throw the country under the bus for the banks and the petrobucks? Banks and Oil companies provide an extremely valuable service - a lucrative speaking circuit for ex-politicians. Quote Link to comment Share on other sites More sharing options...
nothernsoul Posted August 7, 2022 Share Posted August 7, 2022 Don't forget public sector buildings. Budgets for schools and the like will need to be increased, otherwise staff will need to be let go. Think of all the classrooms in a secondary school that need to be heated all day. Quote Link to comment Share on other sites More sharing options...
shlomo Posted August 7, 2022 Author Share Posted August 7, 2022 1 minute ago, nothernsoul said: Don't forget public sector buildings. Budgets for schools and the like will need to be increased, otherwise staff will need to be let go. Think of all the classrooms in a secondary school that need to be heated all day. Yep, they have a budget so yes staff cuts Quote Link to comment Share on other sites More sharing options...
Maghull Mike Posted August 7, 2022 Share Posted August 7, 2022 May be this one https://www.bbc.co.uk/news/uk-wales-62422873 I recall Shotton shut in the early 80's, 30,000 jobs gone. They only 4,000 & frankly after a few more bale outs its going to cost about a £1 million per job kept. Mike Quote Link to comment Share on other sites More sharing options...
shlomo Posted August 7, 2022 Author Share Posted August 7, 2022 10 minutes ago, Maghull Mike said: May be this one https://www.bbc.co.uk/news/uk-wales-62422873 I recall Shotton shut in the early 80's, 30,000 jobs gone. They only 4,000 & frankly after a few more bale outs its going to cost about a £1 million per job kept. Mike Yes Port Talbot should close Putin is selling Gas and Coal cheaper to China, India and Turkey so its not just chepaer wages its cheaper energy as well. Quote Link to comment Share on other sites More sharing options...
HousePriceTooHigh Posted August 7, 2022 Share Posted August 7, 2022 29 minutes ago, Maghull Mike said: May be this one https://www.bbc.co.uk/news/uk-wales-62422873 I recall Shotton shut in the early 80's, 30,000 jobs gone. They only 4,000 & frankly after a few more bale outs its going to cost about a £1 million per job kept. Mike Doesn't look like there is much hope for Port Talbot Tata wants a handout to keep it going and seem to have one foot out the exit door And as the article says, can't even repurpose it for "green" steel as when you capture the carbon you need to ship it somewhere else (which will cost a hell of a lot more than a pipe) Quote Link to comment Share on other sites More sharing options...
Maghull Mike Posted August 7, 2022 Share Posted August 7, 2022 "And as the article says, can't even repurpose it for "green" steel as when you capture the carbon you need to ship it somewhere else (which will cost a hell of a lot more than a pipe). Laughable...........Not even a 5 year old would fall for a tale like that! Mike Quote Link to comment Share on other sites More sharing options...
Maghull Mike Posted August 7, 2022 Share Posted August 7, 2022 Wales, they lost Honda & will lose this, but all those new 20 mph zones will be great.......... Quote Link to comment Share on other sites More sharing options...
Maghull Mike Posted August 7, 2022 Share Posted August 7, 2022 By next year your need a man with a RED flag walking in front of your car Quote Link to comment Share on other sites More sharing options...
miguel Posted August 8, 2022 Share Posted August 8, 2022 https://www.theguardian.com/business/2022/aug/08/two-thirds-of-uks-top-restaurants-in-the-red-after-brexit-covid-and-inflation Quote Link to comment Share on other sites More sharing options...
Patfig Posted August 8, 2022 Share Posted August 8, 2022 It would be interesting to know how much current business owners are paying per KwH for their electricity Quote Link to comment Share on other sites More sharing options...
HousePriceTooHigh Posted August 8, 2022 Share Posted August 8, 2022 restaurants could be saved with another round of CBILS And by that, I mean the restaurant will shut but at least the owner will get another kitchen/range rover/holiday out of it Quote Link to comment Share on other sites More sharing options...
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