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Finding cost effective business energy for a hotel or guest house is one of the hardest to source.

We look at some of the things you can do to help you maximise your business potential.

All businesses are different. They all have different challenges depending on what type of industry they are serving; but the hospitality industry can be very volatile. When most businesses close at the end of the day’s typical business, such as in retail or management services, most hotel and guest houses remain open for business.

The running costs of a typical hotel or guest host can be more than 10% of the total costs just for its electricity! Throw energy waste into the mix and hospitality running costs can become extremely expensive, especially if the hotel is a grade II listed building requiring extra heat.

Still today, there are properties across the UK that have no proper cavity wall insulation.

It’s no wonder that RBS is in the news again, and for all the wrong reasons – being accused of forcing businesses (one case study was in fact a family run hotel) to go bust in order to seize their assets. The case continues.

The point is, the bank argues that many of these businesses are not fit for purpose, seemingly because of mismanagement of finances. Why? Well, hotels are not easy places to manage true, while this doesn’t automatically indicate that a commercial concern is going to go bust, it does represent challenges. As we pointed out above, it’s the business energy costs that drive down the profits for hotels and guesthouses. Common problems include:

  1. Lack of insulation (wall and cavity)

  2. Poor fitting windows and/or bad condition

  3. Lack of modern central heating systems (and no under floor heating)

  4. Victorian style bathrooms, toilets and fireplaces

  5. No LED lighting

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What can you do to save money on business energy?

Business electricity and gas can be expensive – what you need to do is read our page on business energy saving tips:  

Once you’ve picked up the tips and considered your business have a read of our business energy switching guide to help you.

If you’re not sure on what further steps to take call and speak to one of our energy agents free on 0800 988 8375.