Managing the Risk and Fallout from Flooding: A Guide for Business Owners

Flooding is an increasingly common threat to businesses across the UK. Whether it’s the result of heavy rainfall, overflowing rivers, or coastal surges, the consequences of flooding can be devastating. For business owners, having a clear strategy to manage the risks and fallout from flooding is critical to ensuring business continuity, protecting assets, and safeguarding staff.

Understanding the Impact of Flooding

Flooding can cause severe disruptions to business operations, with significant financial and reputational damage. According to the Environment Agency, over 5.2 million properties in England are at risk of flooding from rivers or the sea, and many businesses fall within this category. The Federation of Small Businesses (FSB) estimates that one in five businesses affected by flooding will close permanently. The cost of a flood can vary, but a report from the National Flood Forum found that businesses can face costs ranging from thousands to millions of pounds depending on the severity of the event.

Beyond direct financial costs, flooding can also lead to stock damage, the loss of equipment, and business interruption, leading to missed deadlines and the erosion of customer trust. This highlights the importance of being prepared.

The Importance of a Business Continuity Plan

One of the most important steps in mitigating the risks of flooding is creating and regularly reviewing a Business Continuity Plan (BCP). A BCP ensures that businesses can maintain critical operations during and after a flood, helping them recover more quickly and minimise losses.

A well-developed plan should include specific flood-response procedures, evacuation routes, staff responsibilities, and contact details for local emergency services and insurance providers. It should also outline measures for safeguarding essential documents and assets. Importantly, the plan must be reviewed regularly to ensure its effectiveness, especially in light of changes in the business environment or infrastructure developments.

Here is more information about writing a BCP from AXA Insurance

Preparedness: The Key to Minimising Damage

Being prepared for flooding can significantly reduce its impact. For example, businesses should consider investing in flood barriers, sandbags, and other physical measures to prevent water ingress. Flood warning systems and local alerts should be monitored closely, allowing businesses to take swift action when a flood is imminent.

In addition, flood warning signs should be readily available and easily deployable at short notice. These signs help to notify staff, customers, and the wider community of the potential danger, allowing them to take necessary precautions. Partnering with reliable signage providers like Parrot Signs & Graphics ensures that businesses have access to high-quality flood-related signage that complies with health and safety regulations.

In many flood risk areas across the UK, you can sign up for free flood warnings from the Environment Agency. These provide crucial warnings around the risk of flooding from the sea, rivers and groundwater. These automatic alerts can be sent to you by phone, email or text, whichever is easiest for you. Learn more at https://www.befloodready.uk/before-a-flood/flood-warnings 

When the worst happens: What to do next

Even when warned of a flood and taking the best precautions, no-one can stop one happening. If one hits you and your business, there are steps you need to take to minimise the damage, facilitate the insurance process, and get your business back up and running. 

The priorities include:

• Keeping yourself, your staff and your family safe. 

• Securing your property

• Making records and liaising with your insurance company

• Carrying out the necessary repair work.

• Safeguarding the future of your company, your team, and your supply chain. 

Here is more advice for businesses from the ABI

Flooding poses a significant threat to businesses, but with proper planning, businesses can mitigate the risks and manage the aftermath effectively. Establishing a comprehensive Business Continuity Plan, ensuring preparedness with the right equipment, and having access to appropriate signage are key components of a robust flood management strategy. Business owners should also regularly review their plans and stay informed about flood risks in their area to stay ahead of the curve. Taking these proactive steps not only helps protect a business but also contributes to the resilience of the wider community.

For businesses looking to improve their flood preparedness, Parrot Signs & Graphics offers a wide range of flood warning signs and other safety signage.