Energy Technology Could Save NHS £130m per year

The NHS could save at least £130m per year by updating inefficient and outdated energy systems, according to data released today to mark NHS Sustainable Health and Care Week.

At a time when NHS budgets are under pressure, the savings are enough to fund more than 4,000 nursing jobs, which could help to meet significant and increasing demands for NHS services.

The figures, released by Centrica Business Solutions, are part of a wider report that examines the potential impact of distributed energy solutions on national job creation, economic growth and productivity.

Jorge Pikunic, Managing Director at Centrica Business Solutions, said: “Our NHS is an incredible healthcare system and a source of national pride – but it’s also under intense pressure to reduce costs while delivering enhanced services. Energy has a huge role to play in that.

“Energy could – and should – be a force for good for the NHS, helping to create financial efficiencies and unlock opportunities to make improvements in patient care. However, it needs more support and funding to modernise its hospital estates.

“Energy technology has come a long way in the past few decades and the systems used by most hospitals across Britain can benefit from the latest energy efficient solutions and equipment. A new approach to energy could save the NHS £130m per year – and that’s just a conservative estimate. The savings could be double this.”

Nationally, NHS acute trusts spend around £500m a year on energy . Centrica Business Solutions believes the utilisation of distributed energy solutions, a technical term for a suite of products and services providing energy efficiency, monitoring and on-site generation, can help the healthcare sector to take control of their energy and turn it into an opportunity.

The findings have been published in a new report, here: Distributed Energy: Powering the future of healthcare

Distributed Energy: Powering Britain’s Economic Performance

Centrica Business Solution’s report analysed key sectors, including healthcare, industry (including steel, chemicals, glassmaking and ceramics) and hospitality & leisure. Combined, these sectors account for more than a quarter of the UK’s GVA, and almost a third of UK employment.

The report found that if just half of these sectors invested in energy saving solutions, they could reduce annual energy costs by £980m.

To read the report in full, visit



Centrica commissioned FTI Consulting to help develop the quantitative analysis for the Distributed Energy: Powering Britain’s Economic Performance report.

Its methodology contained four stages:
1. Identifying typical users
2. Determining direct benefits
3. Determining indirect and induced benefits using economic multipliers
4. Creating total figures

Regional estimates are based on non-domestic demand at a local authority level*, apportioned to the total £130m savings opportunity.

*Source: BEIS national electricity consumption statistics (2016)                                                                                                                                                                                                                                                                                                 
For further detail, visit

Nursing jobs calculation

Average nurse base salary is £31,409 (NHS Staff Earnings Estimate, December 2017)
£130,000,000 / £31,409 = 4,139