More needs to be done to help small business insurance holders in rural areas, it has been claimed.
The Federation of Small Businesses (FSB) pointed out that enterprises such as shops, pubs, post offices and petrol stations are facing the risk of closure due to the harsh economic environment.
In addition, the group claimed that 47 per cent of small business insurance customers are failing to apply for the Rural Rate Relief scheme, which reduces their business rates by half.
The FSB also noted that local authorities are allowed to extend this to a 100 per cent exemption and called for more funding to be made available to allow them to do this to help rural small business insurance holders.
Linda Walton, rural affairs and tourism chairman at the FSB, said: 'Every week we hear of the death of village shops and pubs yet the Rural Rate Relief scheme, which was specifically set up to help these rural businesses, is being chronically underused.'
Recently, the Rural Regeneration Zone annual conference heard from groups such as Advantage West Midlands and Business Link that rural companies help to improve the UK's economic recovery.
