Companies are paying more for energy than ever before, and they are expected to continue to do so, experts warn. What’s more, energy and utility costs are generally passed onto the customer.
A lot of businesses are experiencing energy costs that are increasing at more than 10% per year. That means a 10% price increase for energy and utility over the course of a five-year contract. That’s a huge amount of money for businesses that are already on the financial edge.
The average energy bill for the average U.K. business comes to about £6,800 per year, according to official data. Energy experts are warning that more businesses will eventually have to choose between taking on the financial strain of a steady, lengthy contract with expensive energy providers or working from home.
Energy Cost Savings: How Much It Costs
Working from home is both an exciting and popular way for workers to save money. It has several distinct benefits, such as saving on commute times, cost-of-living payments, and bill payments. These savings can be significant, and a closer look at energy comparison platforms reveals that working from home will ultimately save businesses more than £54,000 on energy bills over five years.
The study suggests that working from home can save businesses with energy bills of at least £800 per year. More expensive energy providers typically cost businesses a lot more than that on average.
More Workforce Solutions
Since the U.K. is facing a shortage of affordable housing and an increasingly weak economic recovery, more businesses are looking to the work-at-home option.
The pressure to save on energy bills is more intense than ever, and that will continue to be the case until the overall cost of energy has decreased significantly. Working from home, however, is just one piece of the puzzle, and the big players in energy pricing are still struggling to make energy more affordable, experts say.
This trend is not expected to be sustainable unless big energy suppliers face challenges to their business model.
Energy providers are struggling to keep costs down, and working from home is just one piece of the bigger energy puzzle, opening up the door for consumers to compare energy prices for the most competitive rates.
Working from home is a great solution for a lot of businesses that are struggling with high energy costs and are in a tough spot, and that makes it all the more important for energy providers to find ways to make energy more affordable.
Housing and commercial property owners, for example, are expected to save an estimated £4.6 billion per year on energy bills by working from home, according to a study by CBRE Group and the Energy & Climate Partnership.
Small business owners are also realizing that energy costs make working from home much more feasible. Businesses that are saving money on energy will eventually have more resources to pay other bills and contribute more to their overall revenue.
Energy providers are also looking at alternative ways to make energy affordable for companies. Energy Savings In Buildings is one solution.
Energy Savings In Buildings (ESIB) is a new concept in energy efficiency that uses smart technologies in buildings, including energy monitoring systems and storage systems. ESIB uses energy data and smart technologies to control and manage energy loads, saving businesses money and creating a more sustainable environment.