UK businesses have faced pressure from high energy costs for several years, and the issue is now at the centre of both industry lobbying and government policy.
In February 2026, Energy UK and the CBI warned that UK firms are operating with some of the highest energy costs in the developed world, with nearly 90% of businesses seeing bills rise over the past three years. The report highlights a direct link between energy prices and investment decisions, with four in ten businesses already planning to scale back spending as a result. For non-domestic consumers, this is no longer just a cost issue but a strategic risk to growth, competitiveness and long-term resilience.
Fast forward to May 2026, and the proposed Energy Independence Bill signals a clear shift in how the government intends to respond. The legislation aims to reduce bills, accelerate clean energy deployment and reform the wider energy system, including pricing and infrastructure. Crucially, it also looks to break the link between electricity prices and volatile gas markets, one of the key drivers behind high costs for businesses.
However, while the direction of travel is encouraging, the impact for businesses will not be immediate. Structural reform of the energy system takes time, and the benefits of increased domestic generation and infrastructure upgrades will take years. In the meantime, businesses must continue to operate in an environment where energy remains a major operational cost and a barrier to growth.
This creates a gap between policy ambition and day-to-day reality for non-domestic energy consumers. It is a gap that requires proactive management.
At Procure Smart, we help businesses bridge that gap. Through smarter procurement, transparent contract management, access to real-time market insights and expert advice, businesses can take greater control of their energy strategy today rather than waiting for policy changes to take effect. Solutions like Switch Savvi enable organisations to compare, secure and manage contracts more efficiently, ensuring they remain competitive even in a volatile market.
Energy reform is coming, and it should deliver long-term benefits. But for UK businesses, the challenge remains immediate. Taking control now is essential for futureproofing. Speak with an expert and see how we can support your business today.
