Energy bills crisis: MP's summit as Kirkcaldy businesses face crippling costs

It is being organised by Neale Hanvey, MP for Kirkcaldy and Cowdenbeath, amid fears the hike in bills could cause more business casualties than the pandemic.

With many companies coming to the end of fixed-tariff contracts, the Alba politician fears there could be a number of closures unless action is taken.

He believes one solution could be a collective negotiation with a single supplier - or bulk energy purchasing at a community level.

These ideas will be unveiled to businesses at his summit which takes place at Fife Ice Arena on Tuesday, March 28.

The rink is just one of the businesses Mr Hanvey has been working with, and raised in the Commons and with Ministers .

He said: “I have knocked on every door, but the necessary help has been denied. I believe as a community we must now take action ourselves to mitigate this crisis.”

Mr Hanvey wants businesses across his constituency to come together to tackle the escalating energy costs crisis. He said it was clear that many are struggling as bills have sky-rocketed.

He said: “Many businesses are long-established, weel kent faces across the community, while others recently launched or re-invented themselves during the recent pandemic in the belief it would be the worst of all challenges they would face.

However, with spiralling energy prices, and a lack of meaningful support from the Westminster or Holyrood governments, the energy crisis now threatens to close more doors than coronavirus.

“I have spoken to businesses across the constituency who are coming to the end of a fixed-tariff contract, and it’s panic stations as they are finding their bills double, or even triple, overnight.

“Despite a recent fall in wholesale prices, energy companies are failing to pass this on and are not offering good deals, with some pulling out of the high-use, high-risk business division altogether.

“Despite calling on the Chancellor to increase business support, they’ve actually cut it, and both the UK and Scottish governments seem ambivalent at best about this urgent and pressing matter. In energy rich Scotland many business owners are understandably angry that vast profits and revenues go to the energy giants and His Majesty’s Treasury, when they find their business under threat and are plagued by sleepless night.

“It is totally unacceptable, and utterly indefensible.”

Mr Hanvey has frequently raised these issues in Parliament, directly challenging the Chancellor, contributing to energy cost debates and submitting written questions to ministers. He has also written to every relevant government minister and challenged energy giants operating in the constituency and off the Fife Coast.

“Unfortunately, my pleas for support have been either dismissed out of hand or have been met with derisory tokenism. Energy corporations are more than happy to exploit Scotland’s oil and gas, wind, tidal and hydro resource to the tune of billions of pounds every year. The UK Government are also content to let the tax receipts flow in from Scotland’s vast natural resources, but they are failing the very communities from where they suck up that wealth.

“Without action, the local business landscape could be decimated in only a few short months. This will undoubtedly have a knock-on effect on already rising levels of poverty and deprivation. I have knocked on every door, but the necessary help has been denied. I believe as a community we must now take action ourselves to mitigate this crisis. There are a range of potential actions, such as a collective negotiation with a single supplier or consider bulk energy purchasing at a community level.

“I have been exploring these options with businesses across the constituency and I am calling on business owners to join my Energy Summit at Fife Ice Arena in Kirkcaldy on March 28th where we will look at ways to achieve this. If you are struggling with commercial energy costs, you are not alone. We must work collectively, and I urge you to sign up now.”Ticket info here: http://bit.ly/3ljLXcp