Flooded businesses to get help through fund

Date: 23rd November 2009

The extreme weather conditions observed in the north of England and southern Scotland over recent days have affected small businesses.

A £500,000 disaster fund has been set up by the Federation of Small Businesses (FSB) to assist members who have faced damage to their firms as a result of flooding.

Sole traders, partnerships and other smaller companies can take advantage of interest-free loans to a maximum of £5,000 each.

This capital can then be funneled into making initial repairs to business properties, allowing them to continue trading.

Firms affected by flooding are also likely to claim on their business insurance policies.

John Wright, national chairman of the FSB, said: "The last thing otherwise successful FSB members need is unpredictable weather and flooding to damage their prospects.

"The FSB recognises that to ensure that the long-term damage to the areas affected is mitigated as best it can, all bodies, public and private, need to work together closely and effectively."

Data from the Association of British Insurers suggested that the total value of claims for the 2007 floods reached £3 billion.

Posted by Anthony Burns