April Price Hikes: What Businesses Really Need to Know

From 1 April, UK businesses are expected to face rising costs across energy, broadband, mobile, water, and council tax. Market participants are concerned, and many believe this will sharply increase operational expenses. Energy prices are being highlighted as a major pressure point, with reports of costs on the rise. As a result, many people are worried about how this could impact business profitability. But while the headlines may sound alarming, it’s important to look at the facts in context.

Let’s Cut Through the Noise and Look at the Facts:

The reality is, in most cases, these cost increases won’t hit all at once or potentially even at all. Many business contracts for telecoms, water, and even energy are fixed for the long term, which limits exposure to sudden price hikes. While households may be locked into consumer rates, businesses typically have more flexibility in how and when they buy. This is especially true in the energy market, where businesses often take a more strategic, forward-looking approach to procurement.

The Energy Market: Not as Fragile as It Sounds

Despite the tone in the media, the energy market is far more stable than it may appear. Asian demand is currently at a reduced rate, due to the tariff announcement, drawing LNG cargoes back toward Europe. In addition, new renewable infrastructure and LNG import terminals are strengthening Europe’s supply resilience. Even Russian gas, in some form, may return to supply for certain European countries as trade dynamics evolve. Markets are fluid, and while short-term headlines may signal volatility, long-term fundamentals are improving. The fear of scarcity often ignores these underlying shifts.

Flexibility Creates Opportunity

This is where flexible energy products become an advantage. Rather than reacting to market panic, businesses can act strategically, pre-emptively buying at the right time, not just when headlines suggest urgency. Flexibility in procurement allows companies to benefit from market dips, manage risk, and stay agile in a changing environment.

For more information or support regarding your businesses energy spend, contact Peter.Leyland@GLEG.co.uk to see how we can help you!