Energy • Fuel • Fleet Strategy • 2026–27

Keep Fleets Moving

The fleet energy squeeze is already here. LTN’s flagship support programme is helping operators respond to rising fuel and energy costs, reduce exposure and make better investment decisions over the months ahead.
The LTN Energy & Fuel Pressure Programme
Energy is no longer a background overhead for the transport industry. It is becoming a live operating pressure affecting fuel costs, depot bills, refrigeration, energy contracts, vehicle investment, charging infrastructure and the ability to protect already-tight margins.

A new operating pressure for UK fleets

That is why the Logistics & Transport Network is launching Keep Fleets Moving: a flagship support programme for operators across its network, created in response to the rising costs already affecting the industry and the further pressures expected between now and spring 2027.

Understand exposure

Review fuel, depot energy, contract and infrastructure costs before they become urgent.

Reduce demand

Identify practical energy-efficiency opportunities and avoid paying for unnecessary consumption.

Invest intelligently

Compare solar, storage, charging, finance and infrastructure decisions on cost, return and risk.

The programme will bring together current news, policy changes, market developments, practical guidance and access to organisations able to help operators:

  • review their energy position;
  • reduce avoidable consumption;
  • assess solar and electric-vehicle opportunities;
  • understand charging and grid requirements;
  • compare upfront, leased, financed and power-purchase options;
  • make investment decisions based on cost, return and risk.
The headline is fuel. The pressure is wider.

Fuel is back at the centre of the conversation

Recent media coverage has moved fuel costs back to the centre of the transport conversation. The latest ONS figures reported by The Guardian showed UK inflation rising to 3.1% in August, with motor fuel making a significant contribution and average diesel reaching 181.8p per litre. Read The Guardian coverage .

Logistics UK has also urged the Government to retain the temporary fuel-duty reduction, warning that fuel represents around one-third of the running costs of an HGV fleet. Read the Logistics UK coverage .

For operators, the issue is not simply whether diesel rises by a few pence.

The wider pressure is being created by several costs and decisions arriving together:

Fuel-price volatility
Fuel-duty changes
Business energy contracts
Depot heating, lighting and refrigeration
Electricity network charges
Vehicle replacement decisions
Electric-vehicle charging
Solar and battery investment
Grid capacity
Energy-management requirements
Access to capital

These pressures are connected, but they are rarely considered together.

The October energy story is different for businesses

Ofgem has announced a 4% increase in the domestic energy price cap from October 2026. However, commercial fleet and depot operators do not receive the same protection as households.

Businesses can be on fixed, variable, deemed, out-of-contract or rollover arrangements. Commercial contracts can last for several years, while bills can include wholesale costs, network charges, government levies, taxes, metering and supplier costs.

Ofgem: business energy contracts   |   Ofgem: business energy costs

The questions every operator should be asking

  • When does each depot’s energy contract change?
  • Is the business exposed to variable or rollover pricing?
  • Which sites use the most electricity or gas?
  • What are the total costs beyond the headline unit rate?
  • Could LED, controls, heating, refrigeration or energy-management improvements reduce demand?
  • Could solar or storage reduce purchased electricity?
  • Can the existing grid connection support future charging?
  • What will the combined cost of fuel, electricity and infrastructure look like by April 2027?
A national media story only becomes commercially useful when it is connected to a specific operator, site, decision and timescale.

The next six months contain several pressure points

Period Developing pressure Preparation required
Now to October 2026 Fuel volatility, energy reviews and Budget uncertainty Understand current exposure
December 2026 to March 2027 Fuel-duty changes currently scheduled Recalculate fleet and route costs
31 December 2026 ESOS Phase 4 qualification date Check wider group obligations
January 2027 Final network-tariff information expected Recheck electricity budgets
April 2027 New transmission network charges take effect Assess energy-intensive depot exposure

The latest Government notice keeps the temporary 5p-per-litre fuel-duty reduction in place until the end of December 2026, with staged increases from January and March 2027, subject to final confirmation at Budget 2026. GOV.UK fuel-duty update .

Initial forecasts for 2027/28 transmission network charges point to an increase of approximately 23% in fixed charges for most businesses from April 2027. Final tariffs are expected in January 2027.

NESO tariff publications   |   Drax analysis

For larger organisations, ESOS Phase 4 adds another important date. Qualifying organisations are assessed on 31 December 2026, and the scheme includes energy used by buildings, industrial processes and transport. GOV.UK ESOS guidance .

Practical support must go beyond changing supplier

Getting ahead of energy pressure is not one product decision. It is a sequence:

Review the position. Reduce unnecessary demand. Plan the right solution. Choose the right investment route. Manage the result.
1

Review the contract

Operators should understand their contract position before renewal becomes urgent.

  • contract end dates;
  • fixed or variable pricing;
  • rollover and out-of-contract terms;
  • standing charges;
  • network and pass-through costs;
  • meter arrangements;
  • broker or supplier fees;
  • actual consumption;
  • the effect of planned reduction or generation projects.

A contract should be considered alongside the operator’s wider plans. A depot preparing for solar, battery storage or electric-vehicle charging may need a different energy strategy from a site with no planned change.

2

Reduce consumption before buying more energy

The most cost-effective improvement is often the energy that does not need to be purchased.

  • LED lighting;
  • lighting controls and sensors;
  • heating controls;
  • refrigeration efficiency;
  • building-management systems;
  • insulation and building fabric;
  • compressed-air systems;
  • sub-metering;
  • power-factor correction;
  • energy monitoring;
  • staff and operational energy-management practices.

The question should not simply be whether a technology can be installed.

The question should be whether it produces a measurable reduction in cost, how quickly that return is achieved, what it costs to implement and how the saving will be monitored.

3

Plan solar, storage and electric vehicles together

Solar can reduce the amount of electricity purchased from the grid, particularly at depots with daytime demand from warehouses, workshops, refrigeration, offices or charging infrastructure.

Electric vehicles can reduce dependence on diesel where the vehicle duty cycle, range, payload, charging window and replacement timetable support the change.

Batteries and smart charging may help operators make better use of onsite generation and manage peak demand.

However, the decisions are linked.

Solar suitability depends on roof condition, available area, ownership, lease terms, planning, demand, export arrangements, grid capacity and commercial return.

Electric-vehicle planning depends on mileage, route patterns, payload, vehicle availability, return-to-base arrangements, charging power, depot capacity, connection timescales and finance.

An electric-vehicle programme is therefore not simply a vehicle-purchasing exercise. It is a depot, grid, charging, energy-management and capital-investment decision.

The Government’s 2026 consultation on a new HGV CO2 framework also reinforces why vehicle and energy planning need to be considered together. The proposals remain subject to the outcome of the consultation, but fleet replacement, charging and depot investment are increasingly connected decisions.

HGV CO2 framework consultation

Operators need to understand the investment routes

The same project can produce very different financial outcomes depending on how it is funded and contracted.

Route Potential benefit Questions to answer
Paid upfront Greater ownership and control; future savings remain with the operator. What capital is required, and what is the verified payback?
Lease or finance Spreads payments and reduces immediate capital pressure. What is the total repayment, ownership position, maintenance cost and end-of-term obligation?
Power purchase agreement A provider may fund and own generation while the operator buys electricity under agreed terms. What is the contract length, indexation, buyout position, roof obligation, minimum purchase and exit route?
Managed service / energy-as-a-service A specialist provider may install, operate and maintain the solution. What performance is guaranteed, what are the service charges and how easily can the arrangement be ended or changed?
Grant or external funding Can reduce the amount of capital required. Is eligibility confirmed, what deadlines apply and can the project proceed if funding is not awarded?

The right decision should consider more than a headline saving or projected payback.

  • total project cost;
  • expected annual saving;
  • finance and service charges;
  • maintenance;
  • asset life;
  • ownership;
  • contract length;
  • energy-price assumptions;
  • performance risk;
  • operational disruption;
  • residual value;
  • the effect on cash flow.
A projected return is not the same as a guaranteed saving. Actual results depend on usage, tariffs, operating behaviour, equipment performance and the terms agreed.

Contract-renewal do’s and don’ts

DO

  • Start reviewing the position well before the contract expires.
  • Gather at least 12 months of bills and available meter data.
  • Understand unit rate, standing charge, network cost and supplier fee.
  • Compare the total delivered cost rather than headline price alone.
  • Coordinate the contract decision with solar, LED, EV or efficiency plans.
  • Obtain more than one proposal and understand all broker charges.
  • Ask how the arrangement performs under different energy-price scenarios.
  • Confirm responsibility for monitoring, maintenance and future changes.

DON’T

  • Assume the domestic price cap applies to a business.
  • Wait until the contract expires and the site enters a deemed or rollover arrangement.
  • Sign long term without understanding break clauses and exit costs.
  • Fix demand before assessing efficiency or onsite generation.
  • Compare solar or PPA offers without checking roof, lease, grid and export conditions.
  • Commit to EVs before understanding duty cycles and charging feasibility.
  • Accept a projected payback without checking its assumptions.
  • Treat energy reduction as a one-off installation.

From pressure to action

Every operator will experience the energy squeeze differently.

For some, the immediate issue will be diesel and fuel duty. For others, it will be an energy contract, a high-cost depot, LED and efficiency improvements, the feasibility of solar, the move to electric vehicles, charging capacity or the finance required to act.

The purpose of Keep Fleets Moving is to help operators understand what is changing around them, identify which decisions need attention first and connect with practical support that fits their situation.

Building a shared industry response

Keep Fleets Moving will operate as a live programme, updated as events develop.

It will provide:

  • weekly coverage of energy and fuel developments;
  • a rolling six-month pressure tracker;
  • contract-renewal guidance;
  • depot energy-reduction guidance;
  • LED and energy-management insight;
  • solar, storage and PPA guidance;
  • electric-vehicle and charging-readiness support;
  • investment and finance-route comparisons;
  • operator-focused briefings and case studies;
  • access to organisations able to provide relevant support.

Energy companies, brokers, efficiency specialists, LED providers, solar and storage companies, flexibility organisations, charging companies, alternative-fuel providers and infrastructure-finance partners can each contribute to a different part of the response.

They can help operators review contracts, reduce consumption, assess projects, understand investment routes, plan implementation and manage performance over time.

For participating partners, this creates a meaningful route into the market: an opportunity to support operators at the point when a cost pressure becomes a practical business decision.

Where an operator chooses to explore a defined requirement, LTN can help facilitate a properly contextualised introduction to an appropriately matched support partner.

The programme’s focus remains clear: help operators prepare, make better decisions, reduce avoidable pressure and keep moving.

Join the response

The cost of keeping fleets moving is entering a more complex phase.

Pressure will not arrive as one single event. It will appear through changing contracts, higher fuel costs, network charges, winter demand, vehicle-replacement decisions, charging requirements, energy-reduction opportunities and investment constraints.

Operators that understand their position early will have more choices.

Energy companies that engage early will be better placed to support the market, build trust and develop informed commercial conversations.

The media creates awareness.
The programme shows operators what the pressure means.
Practical support helps them decide what to do next.

Keep Fleets Moving is the Logistics & Transport Network’s flagship support programme for operators responding to the energy and fuel pressures shaping the industry now and over the months ahead.

Keep Fleets Moving

Turn energy pressure into an informed plan

Whether the immediate issue is fuel, an upcoming energy contract, depot efficiency, solar, charging infrastructure, fleet electrification or investment, the programme is designed to help operators understand where attention is needed first.

FOR FLEET OPERATORS Request an Energy and Fuel Pressure Check covering contract position, energy reduction, solar, electric vehicles, charging and investment routes.
FOR ENERGY & INFRASTRUCTURE PROVIDERS Become a Keep Fleets Moving Support Partner, contributing expertise and helping businesses across the LTN network prepare, invest and keep moving.