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The 2026 Energy Landscape: What Food & Beverage Businesses Need to Know – SEFE

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A sector under pressure

The food and beverage sector in the UK is under ongoing financial pressures, with operators experiencing a combination of high input costs, supply chain disruption, and tight margins.

Energy is one of the most important and most challenging budget items to control, and is a strategic area in which clarity and support are increasingly important.

 ‘Our customers in the food and beverage industry tell us they’re under real pressure from financial and sustainability targets, and need clarity that they can act on. We’re here to help – through practical efficiency insights, transparent contract options, and our weekly energy market reports, which make it easier to unpack what’s driving prices and what actions make sense.’ – Tom Meredith, Senior Corporate Development Manager, SEFE Energy

In this article we will review the current energy landscape in the UK, and explore how the food and beverage sector is impacted as well as how SEFE Energy can help.

The UK energy landscape in 2026

UK industrial electricity prices remain among the highest in Europe, with domestic and business costs still around 75% higher than pre-2022 levels. Right now, prices continue to be influenced by global geopolitical instability and with this there has been increased volatility making energy markets more unpredictable. Europe is more reliant on flexible supply and this year has proven that European energy supply remains susceptible to such events. The UK also predominantly relies on fossil fuels, with renewable options still scaling up.

All of this sits against the backdrop of the UK’s wider energy transition, with the government committed to reaching net zero by 2050 and many organisations also working toward their own SBTi‑aligned near‑term and long‑term targets. Legislative and regulatory expectations around energy efficiency, reporting, and emissions reduction – such as ESOS and SECR – continue to tighten for businesses. At the same time, public and investor pressure is accelerating demand for transparent decarbonisation action.

What we’re hearing from Food & Beverage organisations

The number one concern: cost survival

Many operators report that reducing energy cost is now a higher priority than long-term transformation – and for some, energy costs directly threaten their ability to remain open. Organisations are also unsure about which decarbonisation steps are financially achievable in the short term, and there is growing uncertainty around how to navigate energy efficiency improvements while keeping production lines functioning.

According to our recent research, over half of the energy decision makers we surveyed (including Retail & Hospitality and Manufacturing organisations) said that reducing energy costs is their top goal, with over 70% of those we asked saying they’d benefit from more advice.

How SEFE Energy can help

Food and beverage businesses are facing continued long-term challenges, and with no guaranteed respite on the horizon, it’s not surprising that organisations are feeling the pressure. High energy prices, volatile supply conditions and tightening regulatory expectations all contribute to an environment that can be difficult to navigate, especially for a sector already working with tight margins and operational pressures.

At SEFE Energy, our aim is to support businesses through that uncertainty with clarity and transparency. One of the ways we do that is through our , which break down the latest movements in wholesale prices, supply trends and geopolitical developments in clear, actionable terms.

By providing this level of visibility – alongside dedicated customer support and a commitment to clear pricing – we help our customers build a more stable foundation in a challenging and fast-changing energy landscape.

Picture of Kain McHale

Kain McHale

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