Business owners support employees as cost of living crisis continues
Business owners in the West Midlands have been stepping in to support their employees as the rising cost of living continues to put financial pressure on individuals.
Research by investment management company Rathbones found that 35 per cent of the region's business owners have provided their employees with regular financial support, while a further 20 per cent have given a one-off lump sum to their staff to help with rising costs.
Nationally, 43 per cent of owners have offered regular financial support to their employees, with those in the East of England the most generous to staff, with three-quarters reporting to have offered regular financial support in the last six months.
Rathbones’ research found that higher earners across the UK have also been stepping in to support their loved ones.
Almost a third (32 per cent) of high net worth individuals in the West Midlands have helped their children or grandchildren over the last six months with regular financial support for bills, with a further 28 per cent having provided a one-off cash payment. Many have also been regularly supporting extended family members such as aunts, uncles, and cousins (24 per cent) and their close friends (24 per cent).
Ian Tansley, regional director at Rathbones in Birmingham, said: “It is in challenging times where you feel the benefits of having your community the most. With times tough for many individuals, it’s encouraging to see so many business owners stepping in to support their employees. Whether it’s regular financial support or a one-off payment, the help provided by business owners or higher earners will make a real difference in many people’s lives.
“However, it’s vital that business owners are also protecting their businesses and their personal finances throughout this time too. With limited support for small and medium-sized businesses currently available, many could see their costs rise significantly in the coming months.
"SMEs account for 99.9 per cent of the UK business population and play an important role both as an employer across the UK and to our economy. Ensuring your business is equipped to handle whatever comes next is therefore important.”
