thousands of jobs have gone. Unemployment is at 5.1% and wage growth has slowed

Employment down as small businesses delay recruiting, and abandoning the green agenda in favour of survival

Official Government (ONS) figures show that thousands of jobs have gone. Unemployment is at 5.1%  and wage growth has slowed. Retail and hospitality are the worst hit as not only businesses but consumers have less money to spend while costs are still going up.  Some economists think the figures could nudge the Bank of England to cut interest rates. However it’s clear that the pips are squeaking.

In another part of the forest small businesses are ditching green finance initiatives aimed at getting them to embrace sustainability process, because they are concentrating on survival. Natwest reports that sustainability is a high priority for only 30% of firms and that the reason it’s slipping down the agenda for many is cost pressures and the need to ‘focus on ensuring business survival’. On the plus side the Natwest economist is predicting that mid-sized businesses are in a better shape and are more optimistic for the year ahead.

Let’s just hope that the small and micro business owners can hold on in the face of the pressures, until the bigger businesses come looking for their products and services. The small and micro business owners are agile, flexible, innovative and supply the bigger customers. Without them the mid-sized don’t have the skills they need to operate or the goods they need to sell. We forget the value they add to the economy at our peril. An economy builds from the bottom up rather than the top down. It’s time to nurture and partner with your smaller suppliers in your supply chain or risk them not being there when you need them.