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Why Energy Bills Are Rising – And What It Means for Care Providers

28th March 2025

Energy costs are climbing, and care providers across the UK are feeling the impact. Unlike residential customers, businesses—including care organisations—don’t benefit from an energy price cap, leaving them vulnerable to market fluctuations. 

Why Are Energy Costs Rising? In February 2024, small businesses using 10,000–50,000 kWh annually were paying an average of 23.51p per kWh. A year later, that cost had jumped to 26.03p per kWh, a 10.7% increase. Medium-sized businesses consuming 50,000–100,000 kWh saw a 11.8% rise. 

Factors driving this increase include: 

  • Wholesale Energy Prices: Global demand and geopolitical factors have led to price spikes. 
  • Supply Chain Issues: Delays and increased costs in energy production impact businesses. 
  • Lack of Business Protections: Unlike households, businesses face volatile pricing. 

For care providers, rising energy costs mean higher operational expenses, making it even harder to allocate resources to frontline services. But there are ways to protect your organisation. 

What Can You Do? Care providers should review their energy contracts regularly and consider locking in fixed rates. Working with energy specialists like T150 Energy can help secure lower rates and even provide additional financial support through the Payback Scheme. 

Stay proactive to keep your care business sustainable in the face of rising costs.

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