Petty cash... interest rates up five-fold

⬤ The cost of bank loans to small businesses has increased more than five-fold over the past three years, according to new research from UHY Hacker Young, an accountancy firm. The average business loan to small businesses currently carries an interest rate of 5.84%, up from 0.98% in May 2020. Rates could rise further in the next few months as the Bank of England continues to tighten monetary policy.

⬤ Could helping your staff give money to charity improve employee satisfaction and improve your corporate social responsibility credentials? This February marks the 35th year of the Payroll Giving Month campaign, in which charities try to encourage more companies to set up donation schemes for staff. Companies that set up such schemes enable staff to donate from the pre-tax salaries, which reduces the cost of giving to charity. Some employers even choose to match the donations made by their staff. See payrollgivingmonth.com for more details and resources on how to set up donations.

⬤ Two-thirds of small businesses made efforts to reduce energy consumption in the workplace last year, according to a study from Smart Energy GB, an energy-supplier funded organisation set up to promote the installation of smart meters. For three-quarters of these firms, this was the first time they had ever thought about energy efficiency. Popular tactics included switching to energyefficient lightbulbs and turning down the temperature on heating systems. For ideas on how business can lower their energy consumption, go to the Energy Saving Trust (energysavingtrust.org.uk/business).