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Birmingham Post
Birmingham Post
Business
Owen Hughes

North Wales mum left 'running business wrapped in a blanket' as energy crisis bites

A North Wales mum has been left running her business wrapped in a blanket as energy costs spike.

Single mum Kerry Mackay, 44, has faced tough times before after falling into financial difficulty which left her son Jamie crying from cold and hunger on some days.

But she turned things around when she started sewing reusable, compostable sponge alternatives - using bamboo, organic cotton and vegan ink - three years ago from her home in Glyn Ceiriog in the Ceiriog Valley.

It saw her set up ScrubbiesUK which has proved a major success.

However the current spike in energy and other living costs - which is only set to get worse this spring when the energy price cap lifts - has seen her once again have to cut back on heating.

The 44-year-old said: “Having clawed my way out of food bank poverty, here I am, three years on, running my business wrapped in a blanket.

“This sharp increase in energy prices is a massive blow to businesses and people around the UK.”

She added: “My time in foodbank poverty has made me better able to just leave my heating off and try to minimise my energy and water usage.

Kerry MacKay with son Jamie (Sarah White Photography)

“Being cold is normal these days. But the recent price hikes are almost impossible to mitigate against.

“I even dug out my camping stove. It’s crazy.”

She is not the only one struggling - with households and businesses facing massive price hikes.

Firms are already reporting being offered renewal deals that are more than double what they currently pay.

Ofgem today announced a 54% increase in the energy price cap for homes as gas costs spiral - putting an extra £693 on the average household bill.

Chancellor Rishi Sunak has announced measures that will partly ease the pressure with £200 off energy bills this year - to then be repaid over five years by customers - and a £150 council tax discount for some households.

The Federation of Small Businesses has warned that its members are expected to feel the brunt of crippling energy costs in the coming weeks as firms begin to strike new fixed-term deals amid record high energy market prices.

Ben Francis, FSB Wales Chair, said: “The measures outlined by the Chancellor today do nothing to protect local and independent businesses from punishing increases to their energy bills.

“Small businesses aren’t included in the price cap, and don’t have the negotiating power of the biggest firms. That means Welsh businesses will be under the same pressure as households with none of the protections, leaving them out in the cold.

“The UK Government is right to help households with rising costs, but Ministers need to extend the support to include smaller firms.”

Vale of Clwyd-based Hafod Renewables, which installs a range of bespoke green energy systems, has been inundated with calls since prices started to spike.

Hafod managing director David Jones said: “These increased charges are going to hit everyone including homeowners but at least there is a cap on domestic charges even though it’s going to go up.

“For businesses there’s no cap so they are going to be subject to the full force of these price increases and that could mean charges going up by hundreds of thousands of pounds a year.”

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