Businesses across the UK are bracing themselves for a financial shock when support with their energy bills is expected to be halved in March.
Gas and electricity prices have been fixed for firms until the end of March, when a new scheme will be introduced.
That is expected to run until March 2024 and the detail of the support businesses will receive are expected to be announced next week.
Alternative plan to be discussed
Businesses are not covered in normal times by an energy price cap, but after energy prices spiralled last year, the Government introduced the Energy Bill Relief Scheme to offer vital support.
The BBC has reported that Chancellor Jeremy Hunt will meet business groups to brief them on plans for energy bill support for non-domestic energy users after the current package expires.
Whatever is agreed, if they haven’t already done so, businesses should look at how they can reduce energy bills.
According to the Energy Saving Trust, turning down the thermostat by one degree in a three-bedroom home can reduce the bill by 10 per cent per annum. In a larger office space, the saving will be considerable.
How can I make savings?
- Electrical equipment should be switched off overnight.
- Remind staff of how they can save on energy and why it’s important to their business.
- Use motion sensors in your corridors and toilets that only turn the lights on when they’re needed.
- Use wall insulation to keep heat within the building.
- Make sure radiators, heaters and air vents are kept clean for more efficiency.
- Service the boiler and ensure thermostats are working correctly at the optimum temperature.
- A smart meter can make your budgeting and forecasting more accurate as you only get a bill for what you’ve used.
- Avoid printing files that can be sent via email. It reduces paper wastage and cuts the energy used by the printer. You can store important files electronically with the likes of Google Docs.
A good first step towards reducing your energy costs and making your business more resilient to price rises is making sure you have data at your fingertips, so you can see exactly which parts of your business are most affected and how profitable those products or services are.
Need advice on how to understand and mitigate the impact of energy price rises on your business? Contact us today.