Business energy bills warning as costs rise

Rising third party charges are set to see energy bills increase for businesses in the years ahead, a report has warned.

Analysis from Cornwall Insight’s Business Energy Costs Forecast, said charges for grid upgrades and Government schemes are set to increase sharply.

Although some businesses were protected by Government support schemes, others face projected increases of around 5% of current bills – putting pressure on margins and potentially pushing up prices for consumers. 

Key factors behind the rise in third party charges include investment in the transmission network and the financing of new nuclear power stations.

Dr Craig Lowrey, Principal Consultant at Cornwall Insight: “Every step we take towards a cleaner, more resilient energy system has a cost, and the reality is that money has to come from somewhere.

“But the way those costs fall matters. Right now, there is a real risk of a system where some businesses are protected while others shoulder the full weight of rising charges.”