Across the UK, pubs, cafes, restaurants, and hotels are taking part in a government-backed initiative hoping to slash energy bills and carbon emissions. Led by the Department for Energy Security and Net Zero, the trial will form part of the government’s Plan for Change and will provide over 600 small and medium-sized hospitality businesses with free energy and carbon reduction assessments.
Funded with £350,000 and delivered by Zero Carbon Services (ZCS) - one of the UK’s leading net-zero advisers working in the hospitality sector - the trial will run from May 2025 to March 2026, and is expected to cut carbon emissions by 2,700 tonnes and save the hospitality sector £3 million on bills.
According to ZCS, the average pub loses £2,000 per year due to energy waste. CEO Mark Chapman highlighted the urgency of the initiative, noting that climate change is already impacting hospitality through extreme weather events and rising food supply costs.
‘There has never been a more important time to both recover lost profits and take credible action on reducing carbon emissions, the key cause of climate change,’ Chapman said.
The hospitality sector, largely composed of small and medium-sized enterprises (SMEs), supports 3.5 million jobs and contributes £93 billion to the UK economy. However, a recent Federation of Small Businesses report found that while 64% of SMEs agree that sustainability should be a high government priority, only 26% feel equipped to transition to net zero.
With one-to-one coaching and smart data, the scheme hopes to bridge that gap, helping businesses implement cost-effective changes such as fixing insulation gaps, upgrading to low-energy lighting, and optimising heating settings - measures that can add up to substantial annual savings.
‘By providing business owners with expert advice to cut bills and reduce emissions, this will help them keep more money in their pockets to grow their business, employ local people and continue to serve your pint of lager or fish and chips,’ says Sarah Jones, Minister for Industry.
Industry leaders have welcomed the scheme. Kate Nicholls, Chief Executive of UKHospitality, called it a valuable step for businesses seeking to accelerate sustainability efforts, while Emma McClarkin, CEO of the British Beer and Pub Association, praised the government for responding to calls for greater support.
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