Cafe Utilities: Energy, Broadband, Water and Waste for Cafes and Coffee Shops

What utilities does a cafe or coffee shop need?

Most cafes need an electricity supply (gas only if they cook or heat with it), broadband for card payments, tills and customer Wi-Fi, water and sewerage, and a commercial waste collection.

Unlike a restaurant, a cafe usually has no large extraction system or evening service, but the coffee machine and chillers run most of the day. If you run a full-service kitchen, see utilities for restaurants.

Why is electricity the big one for cafes?

In a typical cafe the espresso machine is the heaviest single user. Its boilers are usually switched on before opening and kept hot all day, and the chillers, grinders and water heater add a steady load on top.

Equipment that shapes a cafe's electricity use:

• Espresso machine. Commercial machines keep one or more boilers at temperature through the day, whether you're serving or not. Many have timers so they warm up shortly before you arrive and switch off after close.
• Panini presses, toasters and ovens. High power when on. Leaving a press heating between orders adds up.
• Display chillers and fridges. Run around the clock, including overnight and on closed days. Dirty condenser coils and worn door seals make them work harder.
• Water heaters and urns. Often left on all day for tea and washing up.

Because cafes open early and close mid-afternoon, high use overnight usually means something is being left on. Read the meter at closing and again before opening.

Read the full guide: business energy for cafes.

Is my cafe a microbusiness, and why does it matter?

Your cafe is a microbusiness for energy purposes if it has fewer than 10 employees and a turnover or balance sheet of no more than €2 million, or uses less than 100,000 kWh of electricity or 293,000 kWh of gas a year. Most independent cafes qualify.

Being a microbusiness gives you some useful protections under Ofgem's rules:

• A 12-month back-billing limit. If a supplier hasn't billed you correctly, it generally can't charge for energy used more than 12 months before the correct bill.
• Broker fees shown upfront. For business energy contracts signed from 1 October 2024, any broker fee must be shown in the principal terms of the contract.
• Brokers in a redress scheme. Suppliers may only work with brokers who belong to a redress scheme for contracts with small businesses (fewer than 50 employees).
• The Energy Ombudsman. If a complaint isn't resolved after 8 weeks, you can usually take it to the Energy Ombudsman free of charge.

None of this caps your price. Business energy has no price cap, so the contract you agree is what you pay.

What if your landlord supplies or sub-meters the utilities?

Many high-street cafes lease their unit, and some landlords pass on electricity or water through a sub-meter or a service charge. In that case you may not be able to choose a supplier yourself, so check your lease before getting quotes.

Three common set-ups for a leased cafe unit:

1. Your own meters, in your name. You choose your supplier and contract like any other business.
2. Sub-metered by the landlord. The landlord holds the main supply and recharges you based on a sub-meter reading. Ask how the charge is worked out and for regular readings.
3. Included in the rent or service charge. Common in shopping centres, food halls and units inside other businesses. Ask what is included and how it is split.

Before you sign, ask which utilities are in your name, where the meters are and whether there's a gas supply.

What does a cafe need from its broadband?

A cafe needs a connection that keeps card and contactless payments working at the busiest moment of the morning, plus a separate customer Wi-Fi network if you offer one. A mobile backup is worth considering because most customers no longer carry cash.

• Payments first. Card machines, the till and online or app orders should run on your business network, not the customer one.
• Customer Wi-Fi can bring people in. Laptop workers and people meeting friends often choose a cafe because the Wi-Fi works. Keep it on a separate guest network, and think about whether you want time limits at busy times.
• Backup connection. A 4G or 5G router, or card machines with their own mobile data, means a broadband fault doesn't stop sales.
• The copper switch-off. Openreach stopped selling new copper phone lines in September 2023 and the network closes by 31 January 2027. Check whether your alarm, older card terminal or phone still relies on a traditional line.

We're preparing a dedicated cafe broadband guide. For now, see business phones and broadband.

Cafe water rates, coffee machine filters and hard water

Cafe water rates are made up of water supply, wastewater and usually surface water drainage charges. In England you can choose your water retailer (since April 2017) and in Scotland since 2008; the local water company still owns the pipes and supplies the water.

Water matters more to a cafe than its bill suggests, because it goes into almost every drink you sell.

• Filtration. Most commercial coffee machines need a water filter. Filters need changing on schedule, and your machine supplier will usually tell you which type to use.
• Hard water and scale. In hard water areas, limescale builds up in boilers, pipes and kettles. It can affect taste, slow the machine down and lead to repairs. Filters and regular descaling help.
• Leaks. Compare meter readings overnight, when nothing should be running.

In Wales and Northern Ireland the rules are different, so check with your local water provider. We'll add water quotes once we have partners in place.

What are the waste and recycling rules for cafes?

In England, Simpler Recycling means businesses with 10 or more employees have had to separate dry recycling, food waste and general waste since 31 March 2025. Cafes with fewer than 10 employees must do the same from 31 March 2027. In Wales, workplace recycling rules have applied since 6 April 2024.

Cafe waste has its own pattern:

• Coffee grounds are heavy, wet and produced every day. They count as food waste for collection purposes in many schemes, so ask your contractor how they want them presented.
• Food waste from cakes, sandwiches and plate scrapings.
• Milk cartons, cans and cardboard from deliveries.
• Takeaway cups and lids. Many paper cups have a plastic lining, so check with your contractor which bin they go in.

Whatever the size of your cafe, you have a duty of care for your waste: use a registered waste carrier and keep waste transfer notes. Scotland has its own business recycling rules. We'll add waste quotes once we have partners in place.

Utilities for coffee kiosks, market stalls and mobile cafes

Small kiosks and mobile cafes often don't have their own utility contracts. Power may come from the pitch or landlord, a generator or a battery system, and payments usually rely on card readers using mobile data.

• Power on a pitch. Ask the market, station or venue how electricity is charged: a flat fee, a share of a bill or a sub-meter.
• Your own supply. A permanent kiosk with its own meter can have a normal business energy contract, usually on a very small electricity use.
• Mobile signal. Test signal at each pitch before trading day. A card reader with a built-in SIM or a mobile router helps where signal is weak.
• Water. Mobile cafes usually carry fresh and waste water, so filtration and scale still need managing.

Setting up utilities for a new cafe: a checklist

When setting up utilities for a new cafe, start before you get the keys. Order broadband early, read every meter on day one, and agree an energy contract quickly rather than staying on the rates that apply to new occupiers.

1. Check the lease for which utilities are in your name, sub-metered or included.
2. Order broadband several weeks before opening, as new business lines can take time. Have a mobile backup ready for the first days.
3. On day one, read and photograph every meter and tell the current suppliers you've moved in.
4. Get energy quotes. Until you agree a contract you'll usually be on a deemed contract, which tends to be expensive.
5. Check your coffee machine's power and water needs with the installer: supply rating, water connection, filter and drain.
6. Set up a water account with a retailer (England and Scotland) or your water company.
7. Arrange a waste collection and keep the waste transfer notes.

How do I get cafe energy and broadband quotes together?

Tick energy, phones and broadband, or both, on our form. With your consent we pass your details to the energy brokers and telecoms providers we work with, who contact you with quotes. It's free and there's no obligation.

Tell us your cafe's name, postcode, contact details and, if you know it, when your energy contract ends. We're not a supplier or broker and we don't give advice. We may be paid by the brokers and providers we introduce you to. Every energy broker we work with belongs to an Ofgem-approved complaints scheme.

Related guides

Utilities for cafes: frequently asked questions

This guide is general information, not advice. Prices and contract terms vary, so always read a contract before you sign.

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