Businesses in Lancashire grapple with rising electricity rates as average price hits 31.3p per kWh

The Current Energy Landscape

Recent data from Business Energy UK reveals that the average business electricity unit price has surged to 31.3 pence per kWh in 2023. This rise in energy prices is not just a number on paper. It translates to increased operational costs for businesses, from the bustling town centres to the serene countryside inns. For many, especially those operating on tight budgets, this could mean re-evaluating financial plans, postponing growth projects, or even considering staff cutbacks.

Factors Behind the Surge

The reasons for this spike are manifold. Global energy markets have shown volatility lately, influenced by geopolitical tensions, disruptions in supply chains, and environmental concerns. The UK's dedication to green and renewable energy, crucial for our planet's future, also comes with its set of initial economic challenges.

Tips for Lancashire Businesses to Save on Energy Bills:

• Energy Audits: Regularly conduct energy audits to identify areas of wastage and implement energy-saving measures.
• Switch Suppliers: Consider moving to a more affordable business energy provider or negotiate better rates with your current one.
• Invest in Energy-Efficient Equipment: Upgrading to energy-efficient appliances and machinery can result in significant long-term savings.
• Smart Thermostats: Use smart thermostats to optimise heating and cooling, ensuring energy is utilised efficiently.
• LED Lighting: Make the switch to LED lights, which are more energy-efficient and have a longer lifespan than traditional bulbs.
• Employee Training: Educate employees on energy-saving practices, like turning off equipment when not in use.
• Renewable Energy Sources: Explore options like solar panels or wind turbines, which can reduce reliance on conventional energy sources and offer long-term financial advantages.

The Resilience of Lancashire's Businesses

Businesses in Lancashire are known for their resilience and adaptability. Many are already exploring the solutions mentioned above, investing in energy-conserving equipment, and seeking professional guidance to reduce their energy consumption. Local business associations are also pushing for clearer pricing and increased government assistance.

Looking Ahead: The Winter Challenge

The immediate concern for many is the upcoming winter season. Energy use typically spikes during these colder months, and with the current rates, businesses are bracing for an expensive period.

However, this challenge also offers an opportunity for innovation. Entrepreneurs in Lancashire, renowned for their ingenuity, might pave the way for the creation of new solutions, partnerships, and business models that focus on sustainability and cost-effectiveness.