Either directly or indirectly, the issue of energy has been central to many of the difficulties we have all faced this year. Supply concerns stemming from Russia’s war in Ukraine kickstarted a surge in prices which has filtered through to domestic bills, sending inflation skyrocketing, and putting households and industries under pressure.

More recently, the dwindling real-terms value of wage packets has become one of the factors influencing the wave of industrial actions impacting sectors as diverse as rail, mail and nursing.

To give the Government due credit, the energy support announced earlier this year has helped insulate families and businesses against the extremes of these price rises. In plenty of cases, this support has proved a lifeline for Yorkshire and Humber businesses.

Yet whether you’re balancing the books for your business or your family, it’s likely you will be eyeing April with some trepidation. That’s because the current system of energy support comes to an end in March – and as yet, we have received little indication of what comes next, beyond confirmation that current support will be scaled down.

Businesses are uncertain what support they will receive with their energy bills next year

Urgent clarification is therefore vital. With firms expecting their energy costs to more than double in four months’ time, they need to understand what help will be available, and who will qualify for it.

Delivering certainty on these details could make the difference between survival and extinction for a lot of companies.

While businesses understand blanket support cannot go on indefinitely, there remains a powerful case for state protection for energy-intensive industries.

A more targeted Energy Bill Relief Scheme for significant energy users therefore needs to remain in place beyond the end of March – and the qualifying criteria needs to be decided and shared now, so firms can plan ahead.

The CBI has also argued for this support to be extended beyond the traditional definition of high-energy industries. The likes of automotive and food and drink manufacturers are other examples of sectors where the need for help is acute.

Other vulnerable businesses – particularly SMEs – should also be able to apply for grant funding via local authorities. This would enable our region’s leaders to manage risks to businesses in strategically important sectors or locations.

Not all help has to involve dipping into the public purse, though. An instruction to HMRC to replicate ‘time to pay’ flexibilities instigated during the pandemic could ease cashflow headaches, while reminding businesses that the Recovery Loan Scheme remains open for those in difficulty would be timely.

Increased energy security is the other missing piece. That’s why Government should reshape policy to drive a step-change in business energy investment to improve the UK’s energy resilience.

The CBI believes that should involve increasing capital allowances to 120 per cent of the value of green investments, expanding and extending the Industrial Energy Transformation Fund, and launching a ‘help to green’ voucher scheme for small and micro businesses to spend on things like energy efficiency or solar panels.

Measures like these can give our region’s firms the security they need to avoid the painful choices between reducing staff, cutting capital investment, raising prices for customers – or even closure. They can help keep firms competitive, and ensure they enter 2023 with ambitions intact and the momentum needed to get our economy growing once again.

Beckie Hart is CBI regional director for Yorkshire and Humber.

Urgent clarity needed on what energy bill support businesses will have in 2023: Beckie Hart