Carl Taylor Senior Consultant

While consumers have seen rises in their bills, they are protected to a degree by the energy price cap.  Businesses, however, are not so lucky, and are being subject to significant increases in energy prices, adding to the ongoing pressure of rising costs across the board.

So, what can you do to help your business combat the rise in prices?

Consider an Energy Audit

A business energy audit is an assessment of when, where and how your business uses gas and electricity to help identify ways in which you can cut consumption to save energy and save money.  

There are various different ways you can approach this: 

  • Telephone Audits - This is typically carried out by your energy supplier, where they conduct a review over the phone and provide recommendations and an action plan to make savings on your energy.
  • On-site Audit - On-site audit – again, typically carried out by your energy supplier, where they conduct an on-site audit, looking at equipment on your premises and usage patterns, and provide recommendations and an action plan to make savings on your energy.
  • Internal Audits – You can carry out your own internal audit using your own team members, where you analyse your bills to review the businesses’ energy consumption and usage and come up with an action plan.

Keep your equipment up to dateOld equipment can be inefficient and costly to run, so it makes sense to regularly review the equipment you use in your business, including laptops, computers, kitchen appliances, and machinery, and have a continual renewal program to ensure your equipment is up to date and energy efficient.

Remember that there are currently some good tax breaks available, including the Annual Investment Allowance and Super Deduction which allow a good tax deduction when purchasing new plant and equipment.

Consider energy efficient renewables

Despite initial installation costs, energy efficient renewables such as solar panels and heat pumps can give you a cost advantage in the long run, being both sustainable and efficient.  The government publish a regularly up to date list of energy efficient plant and machinery, which is a useful reference point for verified energy efficient equipment – you can find the list here: https://etl.beis.gov.uk/ 

Often the biggest barrier to taking advantage of this tends to be the initial investment and equipment installation.  However, there are a range of grants and support available to assist with this.  Support tends to vary from region to region, but you can search for help available to you here: https://www.gov.uk/business-finance-support?keywords=energy&types_of_support%5B%5D=grant&types_of_support%5B%5D=loan  

With the energy regulation Ofgem saying that they expect prices to continue to fluctuate for the foreseeable future, taking some of the measures above, could help you to weather the storm.  

For more information on how we can help you and your business, please contact us at info@oldfieldadvisory.com or call 02476673160.

Please note: This article is provided for information only and was correct as at time of writing (13/06/22). Any lists and details provided above are not exhaustive and are not intended to be full and complete guidance.  No action should be taken without consulting detailed legislation or seeking independent professional advice. Therefore no responsibility for loss occasioned by any person acting or refraining from action as a result of the material contained in this article can be accepted.