Six measures to mitigate energy costs in volatile times

Businesses in the UK are having to navigate high and volatile energy prices. Whether it is a small start-up or a large enterprise, energy costs are likely to have a bigger impact on the bottom line for some time yet.

It is worth noting that this period of turbulent energy prices we are witnessing is unlikely to pass in the short term. Crude oil and natural gas prices were already rising in 2021, as structural shortfalls in supply failed to keep up with surging post-pandemic demand. The current conflict in Ukraine has served only to exacerbate the situation and increase energy price volatility. And given market fundamentals in global oil and gas will remain tight even after the conflict ends, a higher energy price environment is likely to persist for the medium term.

To put this into context, UK gas and electricity wholesale prices have hit historic highs. UK National Bala