UK Small Businesses Flag Energy Price Rise as Key Growth Barrier

A study by Novuna Business Finance shows that 84 % of UK small firms now report barriers to growth, the highest level in six years. One‑third (32 %) cite the impact of overseas conflict on energy and fuel prices as a serious concern. Barriers are most acute in Scotland (40 %), Wales (38 %) and South West England (42 %). The sectors most likely to name rising energy costs as a hurdle are transport and distribution (58 %), retail (45 %) and manufacturing (41 %). The most frequently mentioned obstacles are macro‑economic uncertainty (51 %), rising oil prices (32 %) and higher running costs (31 %). Jo Morris, Head of Insight at Novuna, said, “Our findings show how quickly and how deeply UK small businesses have felt the impact of rising energy and fuel prices.” The data suggest growth forecasts remain static unless these barriers are addressed.