Electrification: Business

(asked on 7th May 2025) - View Source

Question to the Department for Energy Security & Net Zero:

To ask the Secretary of State for Energy Security and Net Zero, what assessment his Department has made of the potential impact of full electrification on (a) fish and chip shops, (b) other businesses and (c) economic growth.


Answered by
Sarah Jones Portrait
Sarah Jones
Minister of State (Department for Energy Security and Net Zero)
This question was answered on 16th May 2025

Fuel switching from fossil fuels to electricity has the potential to significantly reduce emissions, making a central contribution to our carbon budget commitments. Clean, homegrown energy is the best way to protect billpayers and boost Britain's energy independence. This will allow the UK to build an energy system that can bring down bills for households and businesses for good.

Many electric technologies are more efficient than their gas counterparts, and therefore electrification has the potential to lower energy requirements for sites. The Government remains committed to supporting electrification and addressing the barriers to investment in electric technology. This includes further development of policy options to address the high cost of electricity relative to natural gas, and the implementation of planning reforms to speed up infrastructure development and unblock issues on grid connection delays.

Taking the points specified in the hon Member’s question in turn:

A) Fish & chip shops: Alongside the electrification of heating and cooling, a key approach for full electrification of a fish & chip shop could be switching from a gas fryer to an electric fryer. An electric fryer is more energy efficient and generally requires less maintenance than a gas fryer, but also tends to require higher upfront costs, and currently results in higher operating costs due to the higher price of electricity compared to gas.

B) Businesses: For many businesses based in commercial units or offices, full electrification would require an electric source of heating and cooling, such as heat pumps or electric boilers. Heat pumps are highly efficient, reducing carbon emission significantly, and can provide both heating and cooling. As with the gas fryer, greater energy efficiency from heat pumps and electric boilers would reduce energy consumption, however upfront costs and operating costs are generally higher than gas alternatives. Some businesses with high temperature heat requirements, such as those involved in manufacturing, amy also require more specialised electrification technologies.

C) Economic growth Electrification is the future for most UK industries, and brings with it a range of economic benefits. These include boosting the domestic supply chain, and supporting UK businesses to be more productive. Electrification will reduce the UK’s reliance on volatile fossil fuel prices, making the UK a more attractive place to do business leading to increased growth and jobs.

At present, government provides grants of up to £7,500 for low carbon heating systems through the Boiler Upgrade Scheme, which are available to small commercial buildings.

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