DROUGHT THREAT TO SMALL FIRMS

Many small firms are threatened by water companies seeking drought orders.

The Federation of Small Businesses (FSB) is calling on the Environment Secretary Margaret Beckett to deny the water companies these drought orders.

Window cleaners and car washing companies in particular are at severe risk because the main resource for their trade is threatened.

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To comply with health and safety legislation or to reduce water consumption many have invested several thousand pounds in equipment.

A federation spokesman said: "Many of them will have done so on credit knowing that regular business will mean they can pay off the bill.

"A sudden full stop in trade will leave many window cleaners not only out of business but, as they could have put their home up as collateral for their business, could hit many hard working families and cost them their homes as well as their businesses.

"Insult has been added to injury by the water companies that have submitted their views to the inquiries into whether the Environment Secretary should give the green light to Drought Orders."