Practical ways to reduce your business energy costs beyond switching brokers
Switching brokers is the fastest way to reduce energy costs, but it's not the only way. This guide covers practical, proven energy-saving strategies for businesses of all types and sizes — from quick wins to long-term investments. Implement these alongside regular broker comparison for maximum savings.
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Every unit of energy you don't use is money saved — at your current unit rate, with no VAT or CCL on top. This means energy efficiency can be even more cost-effective than switching brokers, because the savings compound year after year.
A typical UK business can reduce energy costs by 10-20% through efficiency measures alone — before any savings from switching brokers. Combined with regular broker comparison (which can save 20-40%), businesses can halve their energy costs.
Beyond cost savings, reducing energy use also reduces your carbon footprint, helps meet sustainability targets, and can improve your business's reputation with environmentally-conscious customers.
These changes require minimal investment but deliver immediate savings:
Offices have predictable energy patterns — lighting, HVAC, computers and servers running during business hours. Key savings opportunities:
Install smart thermostats with scheduling — reduce heating/cooling outside business hours. Set back temperatures by 2-3°C overnight and at weekends. This alone can save 10-15% on heating costs.
Upgrade IT equipment — modern laptops use 80% less energy than desktop computers. When replacing equipment, choose energy-efficient models (look for Energy Star rating).
Server room optimisation — server rooms are energy-intensive. Improve airflow, raise setpoint temperatures (most servers run fine at 22-24°C), and consider virtualisation to reduce physical servers.
Install smart meters — half-hourly data reveals exactly when and where energy is being used, making it easy to identify waste. Many businesses find 10-15% of usage occurs outside business hours.
Restaurants and pubs are energy-intensive — commercial kitchens, refrigeration, HVAC and lighting all run for long hours. Key savings:
Kitchen equipment: Regularly service and descale cooking equipment to maintain efficiency. Keep oven doors closed, use lids on pots, and batch-cook where possible. Turn off equipment between service periods.
Refrigeration: Keep condenser coils clean, check door seals regularly, add night blinds to chilled displays, and avoid overfilling fridges (blocks airflow). These simple steps can reduce refrigeration energy by 10-20%.
Extraction: Install variable speed drives on extraction fans — they only need to run at full power during peak cooking. This can cut extraction energy costs by 30-50%.
Heating & cooling: Use zoning to heat/cool only occupied areas. Install programmable thermostats aligned to service hours. Keep doors closed (consider air curtains for entrances).
Warehouses and factories have high energy consumption from lighting, heating, machinery and (often) cold storage. Key savings:
Lighting: Replace all high-bay lighting with LEDs — warehouses can save 50-70% on lighting. Install motion sensors in low-traffic areas and daylight sensors near skylights.
Heating: Warehouse heating is expensive due to large volumes. Use radiant heaters (heat people, not air), zone heating to occupied areas, and install dock seals on loading bays to prevent heat loss.
Machinery: Implement a 'switch-off' policy for idle machinery. Install variable speed drives on motors and pumps. Use compressed air efficiently (fix leaks — they can waste 20-30% of compressed air).
Cold storage: Maintain door seals, install strip curtains, keep condenser coils clean, and consider upgrading to more efficient units. Cold storage is often the biggest energy cost in warehousing.
For larger or longer-term savings, consider these investments (with typical payback periods):
Solar panels: Generate your own electricity. Payback 5-8 years, then 15-20 years of free energy. Particularly effective for businesses with large roof spaces (warehouses, factories, retail).
Battery storage: Store excess solar energy or buy grid energy at off-peak rates. Payback 7-10 years, increasingly viable as battery costs fall.
Building insulation: Loft, wall and floor insulation reduces heating costs by 20-40%. Payback 3-7 years depending on building type and insulation levels.
Heat pumps: Replace gas boilers with air-source or ground-source heat pumps. More efficient than gas heating, and qualifies for government grants. Payback 5-10 years.
BMS optimisation: If you have a Building Management System, have it professionally optimised. Many BMS systems are poorly configured, wasting 10-20% on HVAC costs.
The most effective energy cost reduction strategy combines two approaches: reducing the price you pay per unit (by comparing and switching brokers regularly) and reducing the number of units you use (through efficiency measures).
Switching brokers can save 20-40% with no behaviour change — it's the fastest and easiest win. Efficiency measures take more effort but deliver compounding savings year after year. Together, they can reduce your energy costs by 40-60%.
We help with the first part — comparing brokers and securing the best rates, completely free. For efficiency advice, we can connect you with qualified energy consultants who can audit your premises and recommend specific improvements.
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