Our research shows two thirds of small businesses have been negatively affected by severe weather in the last three years. Yet only a quarter of micro-businesses (those with less than 10 staff) have a resilience plan in place that includes adverse weather.
Disruption to staff, customers, supplies, utilities and transport are the most frequent problems for small firms during severe weather events. Our research shows the average cost of severe weather to a small firm is just under £7,000. Small businesses are not protected by the new Flood Re scheme, a Government led flood insurance agreement that guarantees affordable and available cover.
Action the FSB have taken
- We’re calling for the UK Government to continue investing in flood defences.
- We’re lobbying for the introduction of a dedicated small business insurance scheme, which like Flood Re for domestic customers, guarantees availability and affordability.
- We want the UK Government to provide a website with advice and information about resilience planning for small businesses, as well as funding sources and a place to share best practice.
- We want the introduction of a dedicated small business Flood Re insurance scheme that guarantees availability and affordability.
We believe resilience plans are critical for reducing the impact of severe weather on small businesses. A Government-led National Infrastructure Strategy with a specific severe weather focus would reduce the cost of disruption to small firms, which often face hefty bills after severe weather.