EXPENSES for small and medium-size enterprises (SMEs) have increased by 27% in Spain in the last two years.
SMEs costs’, on the rise since the start of the covid-19 pandemic, experienced a further 2.2% year-over-year increase this year’s first quarter.
These figures have been provided by the Spanish Confederation for Small and Medium-size Enterprises (Cepyme), which explains companies are still struggling with ‘inflation.’
The report shows that labour costs have risen by 4.4% in the first quarter of 2023 due to increases in contribution rates and minimum wage.
But the main struggle for small and medium companies is linked to the price of electricity.
Although electricity prices fell by 3.5% in the first quarter of the year, they are still 107.8% more expensive than two years ago.
However, SMEs sales grew 14% year-over-year during this period, but these figures are plumped up by inflation.
Despite the overall increase in costs for companies, Cepyme believes there is also good news as ‘Spain’s economy improved during the first quarter of 2023.’