Unlocking Savings with Business Energy Contracts: Energy Efficiency Solutions for UK Businesses

Surya Yadav

The UK business landscape is fraught with challenges, from economic uncertainty to increasing regulations. One major obstacle many businesses face is the rising cost of energy. With energy prices continuing to soar, companies must explore innovative ways to reduce their energy consumption and lower their energy bills. This article will discuss various energy efficiency solutions that can help UK businesses unlock significant savings through smart business energy contracts.

Find the best energy contract for your business when you compare ​​business energy contracts here.

Understanding Business Energy Contracts

Before diving into the various energy efficiency solutions, it’s essential to understand the basics of business energy contracts. These contracts are agreements between a business and an energy supplier, outlining the terms and conditions for the supply of electricity and/or gas. They typically include details such as the price per unit, contract length, and any additional charges.

There are several types of business energy contracts available in the UK:

  1. Fixed-term contracts: The energy price is fixed for a specified period, usually between one and five years. This allows businesses to budget more effectively and protect themselves from potential price fluctuations.

  2. Variable-rate contracts: The energy price can change throughout the contract term, usually in line with market rates. While this may result in lower costs if energy prices fall, it can also lead to higher bills if prices rise.

  3. Deemed contracts: These are default contracts that apply when a business moves into new premises without agreeing on a contract with an energy supplier. Deemed contracts are typically more expensive than negotiated contracts.

  4. Rollover contracts: If a business doesn’t switch suppliers or renegotiate its contract before the end of the term, it may be automatically rolled over onto a new contract. Rollover contracts often have higher rates than the previous agreement.

By understanding the different types of contracts available, businesses can make informed decisions about which option best suits their needs and budget.

Conducting an Energy Audit

The first step in unlocking savings through energy efficiency is to conduct a thorough energy audit. This involves assessing a business’s current energy consumption, identifying areas of waste, and determining potential energy-saving measures.

An energy audit can be performed by an in-house team or by hiring a professional energy consultant. The audit should include:

  • A review of energy bills to identify usage patterns and areas of high consumption
  • An inspection of the building’s insulation, heating, and cooling systems to identify inefficiencies
  • An assessment of lighting, appliances, and equipment to determine their energy efficiency
  • Recommendations for energy-saving measures and potential cost savings

Once the energy audit is complete, businesses can prioritise which energy-saving measures to implement based on the potential savings and return on investment.

Energy Efficiency Solutions for UK Businesses

There are numerous energy efficiency solutions available to UK businesses, ranging from simple behavioural changes to more complex technology upgrades. Some of these solutions include:

Upgrading Lighting Systems

Switching to energy-efficient lighting, such as LED or CFL bulbs, can result in significant energy savings. These options use up to 80% less energy than traditional incandescent bulbs and last much longer, reducing maintenance costs.

Implementing Smart Controls

Installing smart controls, such as programmable thermostats and occupancy sensors, can help to optimise a building’s heating and cooling systems. By automatically adjusting temperature settings based on occupancy and time of day, businesses can avoid wasting energy on unnecessary heating or cooling.

Improving Insulation and Building Envelope

Improving a building’s insulation and sealing any gaps or leaks can help to reduce heat loss and lower energy bills. This may involve adding insulation to walls, roofs, and floors or using draught-proofing measures around doors and windows.

Optimising HVAC Systems

Regular maintenance and optimisation of heating, ventilation, and air conditioning (HVAC) systems can significantly improve their energy efficiency. This may involve cleaning filters, repairing leaks, and upgrading to more efficient equipment.

Investing in Renewable Energy

Installing renewable energy systems, such as solar panels or wind turbines, can help to offset a business’s energy consumption and reduce its reliance on traditional energy sources. In addition, businesses may be eligible for government incentives and grants to support the installation of renewable energy systems.

Encouraging Energy-Efficient Behaviour

Educating employees about energy efficiency and encouraging them to adopt energy-saving behaviours can have a significant impact on a business’s energy consumption. This may involve promoting simple actions such as turning off lights when not in use, using energy-saving modes on equipment, and reducing printing.

Switching to a Green Business Energy Contract

In addition to implementing energy efficiency measures, businesses can also unlock savings by switching to a green business energy contract. These contracts provide electricity from renewable sources, such as wind, solar, and hydro power. By choosing a green contract, businesses can:

  • Reduce their carbon footprint and demonstrate their commitment to sustainability
  • Potentially access lower energy prices due to the increasing competitiveness of renewable energy
  • Benefit from government incentives and schemes, such as the Renewable Heat Incentive (RHI)

Furthermore, opting for a green energy contract can enhance a company’s reputation and brand image. As consumers become more environmentally conscious, they are increasingly seeking out businesses that prioritize sustainability. By committing to using renewable energy, companies can attract eco-conscious customers and gain a competitive edge in the market.

When searching for a suitable green energy contract, it is crucial to carefully assess the supplier’s renewable energy sources and credentials. Some suppliers may claim to offer green energy but may not have a high percentage of renewables in their energy mix or may rely on carbon offsetting rather than generating clean energy themselves. To ensure the credibility of a green energy contract, businesses should look for suppliers certified by independent bodies, such as the Green Energy Supply Certification Scheme in the UK.

Additionally, businesses should consider the level of customer support and expertise provided by the energy supplier. A supplier with a strong track record in the renewable energy sector can offer valuable insights and guidance on maximizing energy efficiency and further reducing a company’s carbon footprint.

Lastly, it’s essential to compare offers from different suppliers and consider factors such as price, contract length, and any additional services provided. By partnering with a knowledgeable and reputable green energy supplier, businesses can make a meaningful contribution to the global fight against climate change while unlocking substantial savings on their energy bills.


In conclusion, UK businesses can unlock significant savings by implementing energy efficiency solutions and opting for smart business energy contracts. By conducting an energy audit, prioritising energy-saving measures, and switching to a green contract, businesses can reduce their energy bills, improve their sustainability credentials, and gain a competitive advantage in the marketplace.

Leave a Comment