Two fifths of small business owners in Scotland are worried about their mental health, a survey by the Federation of Small Businesses (FSB) has found.
Revealing the impact of the COVID-19 pandemic on mental health, more than half of the respondents (55%) said they had concerns about the survival of their business, while slightly less than half (46%) were worried about keeping up-to-date with changing government regulations.
About a third of business owners (30%) said repaying debt weighed on their mind, while just under half (44%) are worried about their pay or the income of their family.
“Speak to any group of people in business in Scotland and you’ll find that the last 12 months has taken a toll on their collective mental health. It is little wonder,” commented Andrew McRae, FSB’s Scotland policy chair. “They have faced the same life challenges as the rest of the population, with the added pressure of taking endless high-stakes decisions about the future of their business.”
FSB has called on the Scottish government to pilot a new support service specifically for small business owners and the self-employed to prevent a mental health crisis. The organisation has also urged the entrepreneurs to do what they can to look after their mental wellbeing.
“While we want to see governments in Edinburgh and London take better care of the small business community, we have to take care of each other. That means more people in business seeking out help for themselves or their staff,” McRae said.
The survey, conducted between 13-18 January, shows that only one in three Scottish businesses (32%) are trading broadly as normal, with a similar proportion either closed voluntarily or by law (35%), and about a third open but in a restricted manner (33%). Two thirds of businesses (64%) report that either they’re struggling to stay afloat or that sales and profits are under sustained pressure.
The group said it is vital that policymakers at Holyrood and Westminster put small business survival and recovery at the top of their agenda.
In a letter to Finance Secretary Kate Forbes ahead of the Scottish Government budget, set to be published next Thursday, FSB urged ministers to commit to maintain coronavirus-related rate reliefs for smaller firms for at least the next two financial years. The small business group also wants government, councils, regulators and agencies to reduce, freeze or scrap charges and fees until smaller firms get back on their feet.
