UK Business Electricity Bills Fall 17% as Energy Use Drops

POWWR
2 min read
29 October, 2026

Biggest decreases were seen in North East England and South Wales

 [Manchester, 29th October 2026] – POWWR, a respected energy software provider, today releases its latest Quarterly Energy Barometer Report, revealing that average energy usage continues to fall across the UK. It is now only 19,668 kWh, 6.4% less than last quarter and 10.0% less than the same period last year.

Whilst falls were widespread, the biggest decreases were seen in North East England and South Wales. The biggest consumers of energy are now businesses in London and South East England. Both use over 5,000 kWh, or 32.3%, more energy per annum than those in North East England.

“There is no doubt that businesses in the UK have become increasingly savvy at limiting their energy use. So much so that they are using significantly less energy than they were six months ago,” comments David Sheldrake, CRO, POWWR.

The amount UK businesses are paying for their energy has also fallen considerably quarter on quarter. The average UK business now spends £4,804 on electricity per annum, which is 17.0% less than last quarter. Very small businesses have seen the biggest fall this quarter (of 19.5%) and are now paying only £1,194 for their electricity annually. Those using gas have seen even bigger falls with prices on average 40.8% lower than they were in Q2.

Businesses in North East England have seen their bills decrease the most (by 28.2%), followed by those in South Wales (27.1%), and South Scotland (25.9%). Businesses in North Wales now pay the most for their electricity of any region and, significantly, pay 30.6% more than their neighbours in South Wales.

The average length of contracts that UK businesses are currently committing to has increased this quarter by 7% (or about 6 weeks) to 29 months. This is due to longer terms being offered by suppliers as they attempt to consolidate business. The report also reveals that it is generally 13.8% better to stay with an incumbent supplier than switch.

“This quarter’s Energy Barometer Report clearly shows that energy suppliers are doing all they can to maintain the business they have,” adds Sheldrake. “Average prices have dropped by 17.0% and they are offering existing customers record deals to ensure they stay.”

The POWWR Quarterly Energy Barometer Report is based upon over 717,000 separate data points covering a variety of businesses, from boutique start-ups to large industrial and commercial organisations.

 Key findings:

  • Average electricity bills have fallen by 17.0% quarter on quarter to £4,804

  • Very small businesses saw the largest fall by business size, down 19.5% to £1,194 annually

  • North East England recorded the largest regional bill decrease at 28.2%, followed by South Wales at 27.1% and South Scotland at 25.9%

  • Average energy usage has fallen by 6.4% quarter on quarter and 10.0% year on year to 19,668 kWh

  • London and South East England are the highest-consuming regions, using 21,800 kWh and 21,753 kWh respectively

  • Businesses can save an average of 13.8% by renewing with their incumbent supplier rather than switching

  • Average contract length has increased by 7% from 27 to 29 months

About POWWR

 POWWR is a cloud-based software provider for the energy and utilities sector. Its advanced platforms and simple solutions help over 30 energy suppliers and more than 1,600 brokers win more deals and grow their businesses. The company was previously known as UD Group in the United Kingdom. 

For more information on POWWR, please visit https://www.powwr.com/ or contact Jo Forsdike at jo.forsdike@powwr.com.