In the butcher shop Th. A. Abrahamsen in the center of Larvik, a little boy gets a sausage in his hand. It has been like this for 143 years. In the counter are meters of sausages, cold cuts and other products they make themselves. This is the last butcher shop in the whole of Vestfold. Now it’s not just the free sausage they don’t make money on. – The company has survived two world wars, so it is too bad if it is the electricity prices that will break us, says Thorbjørn Abrahamsen. On the wall behind him hang pictures of the family that has run before him. Now he can be the one to shut down. A customer needs meat to make his own sausages. Photo: Philips Hofgaard / news Happens all over the country The local newspapers around the country have articles about shops closing down almost every day. Villmark and Friluftseffekter in Larvik is one of many. On Wednesday there was a bankruptcy sale and the queue was very long. Outside Villmark and Friluftsliv in Larvik, there was a queue of around 100 meters when the bankruptcy sale started last Wednesday. After 42 years, it didn’t work anymore. Photo: Mette Stensholt Schau / news The general manager has not been able to speak, but allows news to share what she wrote on Facebook to the customers they have had for 42 years: “We fought on, but unfortunately the expenses were greater than the income. The consequences of an expensive pandemic, high electricity bills and high costs to operate are some of the reasons. We apologize to all affected. We take the good memories with us. Thank you for having us.” – Dramatic figures The interest organization for small and medium-sized enterprises, SMB Norway, believes that this is just the start of a difficult winter for small and medium-sized enterprises. Their own survey of 5,500 members shows that almost 1 in 5 of the 350 who responded think they will go bankrupt this winter. – These are very dramatic figures, states CEO Jørund Rytman of SMB Norway. NHO has also carried out a survey and also gets gloomy figures for this autumn. Pessimism is at its highest since the financial crisis in 2008. As many as 43 per cent of companies believe that the situation will get worse in the next six months, according to NHO’s member survey. Across the country, many small shops are struggling. In Engerdal, it can be a long way from grocery stores if they don’t get help with their electricity bills. Minister of Industry Jan Christian Vestre. Photo: Tale Hauso / news Industry Minister Jan Christian Vestre writes in an e-mail to news that he is also concerned about the consequences of the unpredictable electricity prices. The power support can help some, but not everyone, he admits. The entire response of the Minister of Business and Industry – It makes a deep impression to hear such stories. I am full of admiration for people who work hard and tirelessly to run a shop even with high electricity prices. Many shops are also important meeting places for the local communities and not just a shop where you shop. I am a bit worried about the situation. Nobody knows whether electricity prices will continue to be high, and if this continues, the government must assess whether other measures may be appropriate. – In addition to reducing the electricity tax, together with NHO, Virke and LO, we have put forward a loan guarantee scheme and an energy subsidy that will help around 20,000 companies with their electricity bills already this autumn. Companies with at least 3 percent electricity intensity can apply for grants to pay the electricity bill and to invest in energy measures. The scheme is designed to help particularly vulnerable companies through the autumn in anticipation of the offer of fixed price agreements improving. Facilitating the power companies to start competition for fixed-price customers is the most important thing we can do in the long term, and we expect that customers who wish to enter into such agreements will now have more offers to choose from. Read more about the support scheme here. Fears a dead center Business manager in Larvik municipality, Dag Trygve Enden, is seriously concerned. Business manager in Larvik, Dag Trygve Enden, has asked shopkeepers what they are struggling with. Photo: Philip Hofgaard / news Several premises are empty around him in the centre. The same is experienced in other cities in Norway. Beautiful displays are being replaced with gray paper and “For rent” signs. – We are particularly concerned about catering establishments and the small niche shops, says Enden. He has sent out a survey to the municipality’s various shops to find out what the biggest problem is. In recent months, several stores have closed down in Larvik and in other medium-sized cities in Norway. Photo: Philip Hofgaard / news – Expensive electricity and reduced purchasing power are what the business world fears most. We are afraid that people are now stepping on the brake pedal too hard, before the effect of the interest rate increases is seen. There is also a need for a simpler electricity subsidy scheme for the business sector that gives greater effect. – It’s serious now, he says. Figures from Dun & Bradstreet already showed in September that many had lost their jobs due to bankruptcies. Many more than a year ago. By the end of August, 9,468 had lost their jobs as a result of bankruptcies. This is an increase of 51.5 per cent, according to figures from the financial firm Dun & Bradstreet. Here there has been both a hairdresser and an attempt to start a cafe. Photo: Philip Hofgaard / news As the minister for industry says in his answer, the grocery store is often also a meeting place in the local community. In Bygland, the politicians have decided to help, so they get to keep them. At least it can help for a short period of time. Quiet autumn days in the pedestrian street in Larvik. Photo: Philip Hofgaard / news Will meet the politicians In the butcher’s shop in Larvik there is a steady flow of customers. Everyone is upset at the thought of losing the specialty store. Bente Sandnes is a regular customer of Abrahamsen. Photo: Philip Hofgaard / news – Then we lose a bit of our soul, says Bente Sandnes. Thorbjørn Abrahamsen accepts all good words and still has hope for a future for himself and the employees. He can’t just raise the prices too much either. Then he loses the competition with the chain stores. And he finds the power support difficult to understand. – I’m better at making sausages than filling in forms, he says excitedly. Thorbjørn Abrahamsen is happy they are in premises they own now. Photo: Philip Hofgaard / news Næringsdrivere and SMB Norway have invited both the Minister of Business and the Minister of Oil and Energy to meet them on Monday evening in Larvik to hear stories from the real world. Whether there will be a minister or two, they have not yet received an answer.
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– Too bad if electricity prices are going to break us – news Vestfold and Telemark – Local news, TV and radio
