A third of businesses do not have money to cover tax liabilities

By Jordan Chamberlain

- Last updated on GMT

Related tags: Economics, British gas

Nearly a third of hospitality businesses (29%) have admitted they do not set aside the money they need to cover their tax liabilities, according to research commissioned by British Gas.

The research, carried out by Research Now, surveyed 597 small and medium sized companies online between March 7 and 14 this year.

Further British Gas research also revealed:

  • Two in five (59%) leisure businesses think current support available on financial year-end is confusing or too expensive for them to use.
  • Nearly a quarter (24%) say they are concerned about incurring unexpected debt by not properly preparing.
  • Nearly half (44%) of leisure businesses say they are worried about being fined for not meeting their financial year-end obligations
  • Over a quarter (26%) say they are concerned that not being prepared for financial year-end could lead to insolvency.

In response, British gas has teamed up with business support club Enterprise Nation and the Business Debtline to launch a free advice toolkit.

Nicola Connop Business Debtline mentor said: “Simply mastering the basics; such as preparing for the financial year-end can be the difference between a business surviving and failing.  The good news is that help is now available, even for those in serious difficulty. This advice can help your business get back on the road to success.”

Emma Jones, Enterprise Nation founder, added: "The best performing businesses are those that achieve financial fitness by innovating to increase sales, managing costs and keeping on top of the books so amounts to pay at year-end don't come as an unwelcome surprise.

Related topics: Legislation

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