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Hundreds of pubs, restaurants, and hotels will soon have access to a new online tool, launched by the Department for Energy Security and Net Zero, designed to help reduce energy use and carbon emissions.
This initiative aims to help businesses reduce costs amid rising energy prices driven by increasing tensions in the Middle East.
The tool provides practical guidance, such as turning off bottle fridges overnight and monitoring energy hotspots like ovens, lamps, and extraction systems. Energy costs for pubs are projected to increase by nearly £170 million per year due to a recent spike in oil prices, which have risen from $73 to over $100 per barrel.
Last year, the tool was trialled by Carbon Zero Services, yielding promising results. For example, a pub in Bromley reduced its energy use by 26%, saving nearly £2,500 annually. Similarly, a smaller pub in Caterham, Surrey, cut its overnight energy consumption by 66%, resulting in savings of over £1,500 per year, according to LBC.
Mark Chapman, the firm’s chief executive, said: “When you put energy savings into real hospitality terms, the impact becomes very clear.
“Saving around £2,000 a year is the equivalent of the profit from selling thousands of pints or the breathing space that protects hard-won margins during quieter months.”
The Department plans to extend the trial to an additional 525 businesses to reduce energy waste and support profitability. This initiative follows a 15% reduction in new business rates for pubs announced in January, which is expected to save the average pub an extra £1,650 in the 2026/27 fiscal year.
Business groups have warned that one in three firms may consider renegotiating their energy contracts in April due to the mounting pressure of rising costs on smaller operators. This move is part of broader government efforts to help businesses navigate volatile energy markets and prevent unnecessary losses.
Speaking to LBC over the weekend, Milliband said: “As the current Middle East conflict shows, we need to go further and faster to build the clean energy we need to get off volatile fossil fuel markets and deliver energy security for our country.”
Miliband added: “Global events demonstrate there’s not a moment to waste in our drive for clean power because there can be no energy security while we are so dependent on fossil fuels.”
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