The Federation of Small Businesses (FSB) has put aside £500,000 to make interest-free, short-term loans to help members get their enterprises back on track. The maximum that will be loaned for each case is £5,000.

An FSB spokesman said the Government still needed to act to help affected firms.

He said:

"We still need Government bodies such as the Environment Agency to focus as much on assisting businesses to get back on their feet as they do on helping people get back to a normal life in their homes.

"It will be little comfort to someone to arrive back in their house only to find out that their employer has gone bust."

Meanwhile, the British Chambers of Commerce (BCC) says lessons must be learned from the impact of floods in Sheffield and South Yorkshire.

Director general David Frost has visited the area to look at the damage.

He said:

"The floods in Sheffield must not be forgotten because people and businesses here are still feeling the consequences and will continue to do so not just for the next few days but in some cases, for the next few months."