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Hospitality Sector: Energy

Asked by James McMurdockIndependentDepartment for Business and TradeTabled Answered 28 October 2025UIN 83615

The question

To ask the Secretary of State for Business and Trade, what assessment he has made of the potential impact of trends in the level of energy costs on the number of hospitality business closures in each year since 2021.

Answered by Kate Dearden

Whilst no specific assessment has been made on these trends, as Government we understand the importance to businesses of reducing their energy bills and reaching net zero and recognise the increased burdens and barriers businesses, particularly SMEs, face when trying to overcome these challenges.

The Government has announced a new Zero Carbon Services Hospitality Trial, which aims to provides pubs, cafés, restaurants and hotels with free energy and carbon-cutting advice to slash their energy bills as part of the Government’s Plan for Change. This initiative is designed to help businesses reduce costs and support the transition to net zero.

The Government continues to work closely with the Hospitality Sector Council, which brings together industry leaders to address strategic challenges and co-create solutions.

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