According to research from Foresight’s Flood and Coastal Defence Project, flooding in the UK costs the country about £2.2 billion per year. Currently, about £800 million is spent on flood defences per annum, with damages from flooding averaging roughly £1.4 billion.
Businesses usually bear the brunt of flood damages, with the winter floods of 2015 and 2016 costing businesses a best estimate of £513 million. As weather becomes more extreme because of the climate crisis, there is no better time to prepare your business for potential damages, especially if your local company is along the coast or next to a river. In England, the Environment Agency estimates that around 2.4 million properties are at risk of river and coastal flooding.
Purchasing insurance to cover flood damages for your business is important. Costs incurred by flooding to local firms can be enormous, and have a devastating impact on business operations, with buildings, carpets, walls taking months to dry out properly from flood damage. Flooding has also been found to have a negative mental health impact on those that experience it. As the environment becomes more challenging, we would encourage our members and our local companies to prepare as best as they can to combat potential costs.