A study carried out by insurance provider Simply Business has suggested that one in five small businesses in the UK rely on Christmas sales to survive.
The study found that 43% of the 600 businesses surveyed are still struggling to recover from the impact that the coronavirus (COVID-19) pandemic has had on their firm.
According to Simply Business, the COVID-19 pandemic has cost small and medium-sized enterprises (SMEs) over £126.6 billion in lost earnings.
For a third of SME owners, Christmas sales account for 20% of their annual revenue, the study revealed. One in four stated that they do not feel confident regarding their Christmas sales figures.Meanwhile, 52% of SMEs said they feared that future lockdowns and tighter restrictions could impact their sales.
'For many owners, they quite simply need it to be Christmas everyday if they're to continue their recovery from a devastating two years,' said Alan Thomas, CEO of Simply Business.
'They've faced the pandemic head-on, navigated supply shortages, and adapted to a new normal. They've shown resilience in abundance and done all they can to stay afloat. But without a strong Christmas trading period, one in five small businesses will permanently close in 2022.'