Help to mitigate spiralling energy bills, appreciation of the importance of smaller businesses and a clear energy strategy must all be priorities for the UK’s new Prime Minister, according to Cumbrian business leaders.

Liz Truss became Prime Minister last month, immediately facing a number of challenges, not least the cost of living crisis.

Suzanne Caldwell, managing director of Cumbria Chamber of Commerce, says it is essential the new PM and her team focus on engaging with the needs of SMEs, as well as bigger players in the business world.

“We've got some big businesses in Cumbria and we cherish them and they are genuinely really important to us,” says Suzanne.

“But equally if you count up the millions of people who work in small businesses, not just in the county but nationally, they are fundamental to our local economies and our economy overall.”

Suzanne says the most urgent priority is developing a plan to help businesses tackle soaring energy costs.

Last month the Prime Minister announced plans to freeze consumer energy bills at £2,500 a year, promising an equivalent six-month scheme giving support to businesses.

She said there would be ongoing support beyond this for vulnerable industries, likely to include the hospitality industry.

“I think there is a concern that six months support for businesses is just too short,” says Suzanne.

“Obviously that's a concern and it is something that we want to see dealt with properly, making sure that the right sectors are included in longer term support.”

Suzanne says she is also concerned that one of the first leaks to come out following the appointment of the new Prime Minister is a potential end of the cap on bankers’ bonuses.

"Opinions differ on whether removing the cap from bankers bonuses does have an impact on business moving into the city or not and I think that's a whole other argument,” says Suzanne.

"But an awful lot of the general workforce have got a huge concern about the cost of living and how they're going to manage. To say that a group of people, who by most people's standards are incredibly well paid, should have the cap taken off their bonuses is very concerning.

"It's a struggle for a lot of small businesses. They are the backbone of the economy, and they need proper consideration.”

Jo Lappin, chief executive of Cumbria Local Enterprise Partnership, agrees energy prices are the most immediate problem.

“Many won’t be able to simply absorb such sustained increased running costs and, as major employers, it’s essential they remain viable for the benefit of all our communities,” she says.

“As a major tourist economy, the cost of living must be tackled too to ensure visitors can still make the trip to our stunning region and support our businesses and attractions.

“We also need to see the new Government signal an early vote of confidence in Cumbria’s major industries and recognise our unique offer. Never before has energy security and resilience been so high on the agenda, and our region can play a critical role in the solution and the UK’s clean growth.”

This “vote of confidence” should include building the new STEP nuclear fusion pilot plant at Moorside, near Sellafield, and support for the rollout of SMR technologies in the region, as well as continuing support for hydrogen energy projects and wind power in the county.

“Securing these landmark innovative projects will create lasting benefits for the economy,” says Jo.

“It’ll both attract and retain a skilled workforce in the region, in turn helping future generations confidently plan their life and career in Cumbria.”