• Swindon & Wiltshire Experts
• Thursday November 30 2023
• Author Name: Darren Chapman

Tips to help small businesses with the cost of energy in 2024 – BusinessWise

Spiralling energy prices are hitting us all. What can businesses do to keep their costs down? Our Expert of the Week Darren Chapman, a member of the not-for-profit networking group BusinessWise and representative of Utility Warehouse, offers some ideas.

Over the past 18 months we’ve seen the cost of energy double or more for households and businesses – and the cost to businesses is having an impact. So, what could you do to help keep your costs low?

The basics

Make sure your current supplier’s bills are accurate so that you’re not paying for energy you’re not using.

By taking meter readings and providing them to your supplier on a regular basis will remove the need for your supplier to estimate your usage.

Having a smart meter installed to ensure that accurate meter readings are automatically sent to your provider, this will also enable you to monitor your energy usage in real time and help identify where you can reduce your usage.

This could include reducing the times your heating system runs, turning off machinery, computers and other business equipment that doesn’t need to be on when your business is not open.

Are you on the best deal?

Check your current energy supplier contract, are you in a fixed term or a rolling monthly contract? What rates are you currently on and how do they compare to what’s currently available on the market?

This isn’t just the amount that you’re being charged per unit of energy, but the day standing charges too. This can make a significant difference.

If you think you could get a better deal with your current or alternative supplier, what termination fees may you face?

Don’t worry if you’re busy in your business and don’t have time to check the small print or search the market for the best deals, there are commercial energy experts out there who can do this for you.

The future?

Nobody can predict the future; however, current predictions are that the cost of energy will increase by around 3.5 per cent in January 2024, go down at little (four per cent) in April and (two per cent) in July, followed by a small increase of 2.5 per cent in October 2024.

The cost of energy will remain about the same in 2024, meaning businesses will be able to forecast and budget for their energy costs without having to worry too much about having to cover the cost of any large, unexpected increases.

In summary, if you take the time to check your bills, making sure you’re getting the best deals on the market and review your energy usage, you’ll have the best start to 2024 and be able to focus on growing your business and not have to worry about any nasty energy bill surprises.

Darren is a member of the not-for-profit business referral group BusinessWise, which meets fortnightly at Basset Down Golf Club, near Swindon.