Utilities for pubs: key facts
- Energy is usually a pub's largest utility cost, driven by cellar cooling, kitchens, heating and long opening hours.
- Business energy has no price cap. Price and length are set by your contract, and missing your renewal can put you on expensive out-of-contract rates.
- The UK's copper phone network is being switched off, with a deadline of 31 January 2027. Alarms, older card terminals and other kit on a phone line need checking.
- In England, pubs can choose their water retailer (since April 2017); in Scotland, since 2008. The local water company still supplies the water and runs the pipes.
- Simpler Recycling rules mean businesses in England with 10 or more employees have had to separate recycling and food waste since 31 March 2025. Smaller firms follow from 31 March 2027.
- Tied tenants should check their lease before switching: some pub companies arrange energy, Wi-Fi or other services.
What utilities does a pub need?
Most pubs need electricity and gas, a phone line and broadband, water and sewerage, and commercial waste collection. Many also need card machines and a mobile.
| Utility | What's different for pubs | Guide |
|---|---|---|
| Electricity and gas | Cellar and line cooling running 24 hours, kitchens, glass washers, heating large rooms, late hours. | Business energy for pubs |
| Phones and broadband | Card payments, EPOS, alarms, guest Wi-Fi and sport streaming all need a reliable connection. The copper switch-off affects older kit. | Phones and broadband for pubs |
| Water | Glass washing, line cleaning, toilets and kitchens. In England and Scotland you can choose your retailer. | Guide coming soon |
| Waste | Large volumes of glass, plus food waste for food-led pubs. Recycling separation rules apply in England, Wales and Scotland. | Guide coming soon |
Energy for pubs: what to know
Pubs buy electricity and gas on fixed-term business contracts with no price cap. The most important thing is to agree a new contract before your current one ends, so you don't fall onto out-of-contract rates.
- Cellar cooling never stops, so overnight use is normal. A sudden rise in overnight use can point to a cooling fault.
- New licensees are put on a deemed contract until they agree one. Read the meters on day one and get quotes straight away.
- Most pubs pay 20% VAT and the Climate Change Levy on energy.
- Many pubs count as microbusinesses, which brings Ofgem protections such as a 12-month back-billing limit.
Read the full guide: business energy for pubs.
Phones and broadband for pubs: what to know
A pub's tills, card machines, alarms and guest Wi-Fi increasingly depend on one internet connection. With the copper phone network closing by 31 January 2027, check what still runs on a phone line and consider a backup connection for card payments.
- Check alarms and older card terminals that use a phone line before your line is moved to digital.
- Keep guest Wi-Fi separate from your tills and card machines.
- A 4G or 5G backup keeps card payments running if the main broadband goes down on a busy night.
Read the full guide: phones and broadband for pubs.
Can a pub choose its water supplier?
In England, most businesses, including pubs, have been able to choose their water retailer since April 2017. In Scotland, business customers have been able to choose since 2008. In Wales, only very large users can switch. The retailer handles billing and service; the local water company still supplies the water.
Pubs use water for glass washing, beer line cleaning, toilets and kitchens. Things worth checking on a pub water bill:
- Leaks. A dripping cellar tap or running toilet cistern costs money every hour. Compare meter readings at closing and opening.
- Surface water drainage charges. These are based on the area of your site that drains to the public sewer. If your car park or garden drains to a soakaway, you may be charged too much.
- Trade effluent. Pubs discharging fats, oils and grease should have grease traps or similar controls; blockages can be costly.
We'll add water quotes once we have partners in place.
What are the waste and recycling rules for pubs?
In England, Simpler Recycling requires businesses with 10 or more employees to separate dry recyclables, food waste and general waste from 31 March 2025; businesses with fewer than 10 employees must comply from 31 March 2027. Wales and Scotland have their own separation rules.
- England: Simpler Recycling covers glass, metal, plastic, paper and card, and food waste. Some streams can be collected together if your waste contractor allows it.
- Wales: workplace recycling rules have required businesses to separate recycling, including food waste and glass, since 6 April 2024.
- Scotland: businesses must separate key recyclables, and food businesses producing more than a small amount of food waste must present it separately.
Every business must also follow its duty of care: use a registered waste carrier and keep waste transfer notes. Glass is usually a pub's biggest recycling stream, and quiet, regular collection times matter in residential areas.
We'll add waste quotes once we have partners in place.
Can a tied pub choose its own utility suppliers?
Often, but not always. Check your lease or tenancy agreement: some pub companies arrange energy, Wi-Fi or waste for their estate, or set rules about suppliers. Free-of-tie pubs and freehouses can usually choose any supplier.
Before signing any utility contract as a tenant, check whose name the account is in, whether the lease includes a group scheme, and what happens to the contract if you leave the pub before it ends. A fixed-term contract that can't move to the next occupier could leave you with exit charges.
How does getting quotes through Business Utilities Hub work?
Tick the utilities you'd like quotes for and fill in one short form. With your consent, we pass your details to the business energy brokers and telecoms providers we work with, who contact you with quotes. It's free and there is no obligation.
- Tick what you need: energy, phones and broadband, or both.
- Tell us about your pub: name, contact details, postcode and when your energy contract ends.
- A broker or provider contacts you to understand your pub and send quotes.
- You decide. There's no obligation to accept any quote.
We are 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 pubs: frequently asked questions
What is usually a pub's biggest utility bill?
For most pubs it's energy, because cellar and line cooling run 24 hours a day and kitchens, glass washers, heating and lighting run through long opening hours.
Can I get quotes for energy and broadband at the same time?
Yes. Tick both on our form and we'll pass your details to an energy broker and a telecoms provider, so you only fill in your details once.
Is there a price cap for pub energy?
No. The Ofgem price cap only covers household energy. Pubs pay the price agreed in their business energy contract.
Does the 2027 phone line switch-off affect pubs?
Yes. Analogue phone lines are being replaced with digital ones, with a deadline of 31 January 2027. Pubs should check alarms, older card terminals and anything else that uses a phone line, and test them after the switch.
Can pubs switch water supplier?
In England, most businesses including pubs can choose their water retailer, and in Scotland business customers have been able to choose since 2008. The local water company still supplies the water; the retailer handles billing and customer service.
Do pubs have to separate recycling?
In England, businesses with 10 or more employees have had to separate recycling and food waste since 31 March 2025, and smaller businesses must do so from 31 March 2027. Wales has required workplace recycling separation since April 2024, and Scotland has its own rules.
Can a tied tenant choose utility suppliers?
Often, but check your lease or tenancy. Some pub companies arrange energy, Wi-Fi or waste for their pubs or set conditions. Also check who the account is in the name of.
When should a new licensee sort out utilities?
On the day you take over. Read and photograph every meter, tell the suppliers, and agree an energy contract quickly, because deemed rates for new occupiers are usually high.
Is Business Utilities Hub a supplier or broker?
No. We publish guides and, with your consent, pass your details to business energy brokers and telecoms providers we work with. We may be paid for the introduction. The service is free to you.