{$inpagemarkup}

Search News

Results: 1-10 of 650


Small Business Strategy Inquiry 2025 - ACT and Bira call for members to share their voice

20 Jun 2025

The House of Commons Business and Trade Committee has asked the ACT, and its parent company Bira, to help them reach out to small business retailers across the country, for their quick input on... Read more…

Beyond the discount: Restoring integrity to the cycle supply chain

18 Jun 2025

The Association of Cycle Traders believes the time has come for greater accountability throughout our supply chain, writes ACT Director Jonathan Harrison in an article published for BikeBiz.
Read more…

Bira welcomes Wales' business rates proposals but calls for key improvements

11 Jun 2025

Bira has welcomed the Welsh Government's consultation on business rate reforms for retail shops, whilst calling for significant improvements to ensure the proposals truly support high street... Read more…

New awards launch to champion Britain's independent high street heroes

9 Jun 2025

Retailers on Britain's high streets are being encouraged to put themselves forward for the first-ever Love Your High Street Awards, designed to celebrate the small businesses that bring... Read more…

"Tectonic shift" in employment law threatens independent retailer viability, warns Bira podcast

6 Jun 2025

Independent retailers are facing a "generational" transformation of employment law that could fundamentally change how small businesses operate, according to the final episode of Bira's first... Read more…

Retailers hope warm weather and bank holidays will boost high street sales

16 May 2025

ACT parent company Bira has said that members are hopeful the warm weather, Easter weekend and upcoming bank holidays will provide a much-needed boost to high street sales.
Read more…

Economic growth surges to 0.7%, but "April reality check" looms for high street retailers

15 May 2025

UK economy delivers strongest quarterly performance in a year despite forecasts of business downturn.
Read more…

Communities come together for Local Bike Shop Day 2025 celebrations

13 May 2025

Local Bike Shop Day 2025 brought a wave of... Read more…

ACT parent company Bira welcomes Bank of England's latest interest rate cut

8 May 2025

ACT parent company Bira has welcomed the Bank of England's decision to reduce interest rates from 4.5% to 4.25%, calling it a "much-needed boost" for the retail sector, including for cycling... Read more…

ACT parent company Bira responds to Beales' "Rachel Reeves Closing Down Sale" as iconic store makes final protest

8 May 2025

ACT parent company Bira has responded to the news that the 144-year-old Beales department store is staging a "Rachel Reeves Closing Down Sale" in its final weeks of trading, with giant yellow... Read more…

Back to news menu

Insurers pay tens of thousands to small businesses for Covid lockdown losses

Posted on in Business News, Cycles News

Following today's Supreme Court ruling tens of thousands of small businesses will receive insurance payouts covering losses from the first national lockdown.

After the announcement of the first lockdown in March, the Treasury Select Committee, led by Mel Stride MP, challenged the Association of British Insurers (ABI) regarding the support offered to business via their members, with specific regard to business interruption insurance.

Many small businesses made claims through business interruption insurance policies for loss of earnings when they had to close. But many insurers refused to pay, arguing only the most specialist policies had cover for such unprecedented restrictions.

The Committee sought to clarify where business insurance support had ceased to be offered or policy terms had changed and exclusions added, since the pandemic began.

Government appeared to expect that business insurance policies would provide funding support for independent retailers through the provision of cover for coronavirus related costs after it added COVID-19 to its list of notifiable diseases.

 

A united stance amongst Trade Organisations

On March 31st the Independent Retailers Confederation (IRC), led by the ACT and ActSmart, called upon Government and insurance brokers to challenge policies where there is ambiguity.

The IRC is a well-established organisation representing over 100,000 independent retailers throughout the UK, it brings together like-minded trade associations with interests in the small and independent retail sector.

Information was collated through the trade organisations that make up the IRC from retailers that had made a claim for business interruption which was denied by the insurer. This information was collated and put towards lobbying the government on this issue.

The case has been ongoing for many months, with the Supreme Court today ruling in favour of small firms receiving payments from business interruption insurance policies.

For some businesses it could provide a lifeline, allowing them to trade beyond the coronavirus crisis. The ruling could cost the insurance sector hundreds of millions of pounds.

 

Insurers to pay out on many, but not all, policies

It is important to note that while this is certainly a victory for many small businesses, this does not now mean that all insurers are required to start paying out. The insurance payout is entirely dependent on the clarity of the policy wording. The case put forward to the Supreme Court was against a small number of insurers and specific policy wordings.

Whilst the case evaluated was a ‘test' case, there is now hope that other insurers with the same/similar wordings will feel that they should also follow the ruling- for both good conscience and to avoid individual litigation.

Long-standing ACT partner and insurance specialists Butterworth Spengler have made the decision to re-visit any claims made by clients where this ruling may now have an impact. They would also like to highlight that their claims team is available to consider any questions from clients.

 

 

Back to news menu

Useful links

If you have any other queries please contact us.