What is the average energy usage for businesses?

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Being aware of your business’s energy usage can help your efforts to drive down costs - and can make it easier to secure a better contract with more favourable business electricity or business gas rates

If you’re looking to cut the cost of your business energy, it can be useful to have an understanding of the average amount of energy a business like yours consumes – as well as the amount businesses typically spend on their gas and electricity bills. With this information you can compare business electricity and gas deals. The following is a short guide to average business energy usage and spend among businesses in the UK.

AVERAGE ELECTRICITY USAGE FOR BUSINESSES

To give you a reasonable idea of how much electricity a business like yours uses, we have categorised electricity for business consumption by size. Take a look to see how your business compares.

For help identifying the size of your business, visit our SME definition page.

Business size Low end usage (kWh) High end usage (kWh)
Micro business 5,000 15,000
Small business 15,000 25,000
Medium business 30,000 50,000

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Businesses that consume more than 100,000 kWh of electricity in a single year are classed as large businesses by suppliers, meaning their energy supply is handled differently.

According to the Department of Energy and Climate Change’s (DECC) 2013 statistics, the average annual electricity consumption for a business customer in the UK was 8,400 kWh, with businesses consuming a total of 181,556 GWh of electricity in that year.

Unsurprisingly, the City of London had the highest regional annual median at 21 MWh of electricity consumed.

Click the link if you are looking for more information on business electricity prices and rates.

AVERAGE GAS USAGE FOR BUSINESSES

Businesses use gas in a variety of ways. A small retailer, for instance, may only use gas for heating and hot water, where as a café may also rely on gas to power their kitchen equipment. This means every business will use different amounts of gas. However, below you can find average consumption figures based on business size.

Business size Low end usage (kWh) High end usage (kWh)
Micro business 5,000 15,000
Small business 15,000 30,000
Medium business 30,000 65,000

Naturally, businesses that use gas for more than just hot water and heating their premises will have a higher cost on their annual business gas bill. This makes it difficult to provide business owners with an indicative price when discussing the amount that their business will spend on gas over a year.

However, you can see average business energy prices and rates by clicking the link.

The DECC reported that total annual business gas consumption for 2013 was 182,746 GWh with individual businesses consuming an average of 670,200 kWh of gas in the same year. The report also found that businesses in Yorkshire and the Humber had the highest average annual gas consumption at 904,800 kWh with 24,000 gas meters. This is despite London’s 43,000 business gas meters which collectively recorded an average annual consumption of 491,200 kWh.

For more detailed figures on average energy consumption, take a look at the Energy Consumption in the United Kingdom (ECUK) report, an annual statistical publication providing a comprehensive review of energy consumption and other energy factors, as well as the DECC report on national energy consumption in 2013.

If you would like more guidance on cutting the amount of energy that your business is using, why not try our small business guide to energy efficiency? Or, call the number below to speak to one of our business energy consultants.

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