Shropshire businesses face 70% rise in expenses since 2016

The Shropshire Chamber of Commerce is calling for urgent government intervention following a report showing that small and medium-sized enterprise (SME) expenses have risen by more than 70 per cent since 2016. Data from the British Chambers of Commerce’s ‘Cost Stack Calculator’ indicates that a quarter of this increase has occurred since the autumn 2024 budget.

Policy-driven costs, including National Insurance, wage regulations, pensions, business rates, and energy levies such as the Climate Change Levy, are cited as primary drivers. For a mid-sized SME with a £5 million turnover, policy-related costs have climbed from £1.16 million in 2016/17 to nearly £1.98 million, now representing almost 40 per cent of total turnover.

Ruth Ross, chief executive of the Shropshire Chamber, stated that these pressures are undermining investment and weakening local economic resilience. The Chamber is encouraging businesses to use the calculator to track increases and contribute data to support national evidence for policy change.