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25th February 2010
Small retailers face disproportionate utility costs
The UK's small retailers and businesses have seen utility prices increase disproportionately compared with larger firms.
Government data shows that between the third quarter of 2008 and the corresponding period for 2009 electricity prices rose by between 15 and 17 per cent among the UK's small to medium-sized enterprises.
The respective rise for larger firms stood at between nine and 11 per cent, with the country's biggest companies incurring a price increase of just five per cent.
Small firms also faced disproportionate price changes for gas, seeing costs rise by eight per cent while outgoings fell by between 14 and 52 per cent for all other commercial users, according to the Department of Energy and Climate Change.
Nick Palin, finance director for the Forum of Private Business, said that the price alterations were not fair on Britain's smaller firms.
He said: "This is the tip of the iceberg. By refusing to play fair some utilities giants have forced costs on small businesses they can ill afford.
"While the big energy companies always pass on wholesale price increases in full the same cannot be said when prices fall."
© 2010
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