More than half (52%) of small businesses are passing on the costs of increased fuel to their customers, according to research.

The poll found that 79% were feeling the effect of higher fuel prices, 35% were looking for ways to diversify their business to cope as a result of the high price of fuel and 26% were cutting the amount of time spent on the road.

A further 19% were also coming under pressure from employees to increase their fuel allowances to cover the rise in prices.

The impact of higher fuel prices was being felt most in the north, according to the survey by Bibby Financial Services, with 83% feeling the heat compared to 73% in the south.