Six in 10 UK businesses look to adapt operations in response to extreme heat

  • 37 per cent have increased heat-related investment, with 23 per cent considering it
  • Cooling equipment, including air conditioning and ventilation, is the most common investment priority (28 per cent)
  • Barclays anonymised client data shows that air conditioning suppliers saw cash inflows increase by 4.3 per cent year-on-year into Barclays accounts
  • Consumers claim 25.1°C is their maximum temperature for shopping, as 20 per cent bought cooler clothing during the July heatwave

 

According to the Q2 Barclays Business Prosperity Index, six in 10 businesses surveyed (60 per cent) have either increased investment to adapt to extreme heat (37 per cent) or are considering doing so (23 per cent).

 

The most common investment from firms is upgrading cooling equipment including air conditioning and ventilation (28 per cent). Close to a quarter (23 per cent) are adopting energy efficiency measures to manage the higher energy use.

Barclays anonymised client data also points to rising demand for cooling infrastructure, with air conditioning supplier businesses seeing cash inflows into Barclays accounts increase by 4.3 per cent year-on-year in Q2 2026.

Meanwhile, businesses are also adapting how their teams work during hotter periods, with 28 per cent introducing employee wellbeing measures such as additional breaks, 23 per cent offering flexible or remote working, and 21 per cent adjusting working hours.

The findings come as over a quarter (27 per cent) of small and micro businesses report that hot weather has had a negative impact on productivity. However larger businesses have proved more resilient, with almost half (47 per cent) citing a positive impact on productivity from the warmer weather.

 

Hot weather changes consumer demand and trading conditions  

The effect of hotter weather is not limited to business operations. Consumer data suggests it is also changing demand and trading conditions for customer-facing businesses, particularly in retail.

According to the Barclays Consumer Spend report2, which combines hundreds of millions of customer transactions with consumer research, consumer card spending grew by 2.0 per cent year-on-year in July, following a 1.9 per cent uplift in June, although this remained below the latest CPIH inflation rate of 2.8 per cent.

Within retail, July’s heat was reflected in higher spending at garden centres and on clothing, which both rose 2.4 per cent, while electronic stores were up 1.5 per cent. The shift in clothing spend comes as one in five consumers (20 per cent) said they bought light and cool summer clothes in response to the heatwave.

When asked, UK adults chose 24.6°C as their ideal summer temperature, 13.1°C lower than 2026’s record high. This drops further when considering different activities, with consumers claiming 25.1°C is their maximum temperature for shopping.

 

Thinking about the recent heat – how hot would be too hot for each of the following?
Shopping Commuting WFH Sleeping Cooking Exercising
25.1°C 24.2°C 23.7°C 22.0°C 24.7°C 23.7°C

 

Jason Constable, Head of Real Estate at Barclays UK Corporate Bank, said:

“As extreme heat becomes a more regular operational challenge, UK firms are investing in practical measures to stay resilient, from cooling systems and workplace upgrades to energy efficiency to manage higher energy use and employee wellbeing. For consumer-facing businesses, cooler and more comfortable premises can also help protect footfall, dwell time and day-to-day trading during hotter periods. 

“That presents a clear opportunity for heating and cooling, retrofitting, facilities management,  and wider sustainability providers. As demand grows across both business and consumer markets, these sectors can play an important role in helping firms adapt, protect productivity and build long-term resilience.”

 

Gavin Parker, Head of Property Services, Barclays UK Corporate Bank, said:

“As businesses invest in cooling, ventilation, energy efficiency and wider workplace upgrades, facilities management providers are well placed to help organisations adapt to the challenges of extreme heat. 

“From retrofit projects to improving building performance, the sector has a key role to play in helping businesses protect productivity and employee wellbeing. As demand for these services grows, access to finance to support expansion and investment will be critical. Through initiatives such as the Barclays Business Prosperity Fund, we’re helping businesses invest in projects that strengthen resilience and support long-term growth.”

EAN Content

Content shared by this account is either news shared free by third parties or sponsored (paid for) content from third parties. Please be advised that links to third party websites are not endorsed by Estate Agent Networking - Please do your own research before committing to any third party business promoted on our website. As an Amazon Associate, I earn from qualifying purchases.

You May Also Enjoy

Breaking News

Residential projects remain under pressure

Infrastructure keeps UK construction moving through a sluggish spell Residential and non-residential projects remain under pressure, while infrastructure and utilities work give the industry a much-needed lift The value of underlying work starting on-site during the latest three months declined 2% and stood 18% below last year’s levels. Residential construction starts fell 8% against the…
Read More →
Breaking News

Homebuyers hold tight ahead of Autumn Budget

but should they wait to make their move?   The latest research from Yopa has revealed that mortgage market activity has reversed in recent months, with approvals falling at an average monthly rate of 3.9% over the last four months, having previously increased by an average of 1.5% per month over the previous four months, suggesting…
Read More →
Breaking News

House price growth accelerates in Q2

The latest Property Market Index Review by London lettings and estate agent, Benham and Reeves, has revealed that the property market continued to build momentum during the second quarter of 2026, with UK house prices increasing by 1.1%, while London recorded a second consecutive quarter of positive growth.   The Benham and Reeves Market Index Review…
Read More →
Breaking News

House prices hold steady despite impact of higher interest rates

House prices were unchanged in September (0.0%), following a -0.3% fall in August The average property price is now £298,441, compared to £298,395 in August Prices were also unchanged annually (0.0%) compared with September last year Northern Ireland continues to lead UK annual growth, at +7.4% Latest first-time buyer prices reveal what a 2.5% deposit…
Read More →
Breaking News

Breaking Property News 5/10/26

Daily bite-sized proptech and property news in partnership with Proptech-X. Architect-founded KnowYourNest brings property scores into the home search, with a free 1–10 score and full KnowYourNest reports from £9.95 By Author Andrew Stanton CEO Proptech-PR NestLink today launches free NestScore checks and KnowYourNest property intelligence reports for buyers and homeowners across England and Wales.…
Read More →
Breaking News

Gap between house prices and earnings narrows

Gap between house prices and earnings narrows – but higher borrowing costs limit affordability gains UK’s house price to income ratio falls from 7.6 to 7.3, an 11-year low, as earnings continue to outpace house price growth For first-time buyers, homes now cost less than six times earnings, falling from 6.1 to 5.9 However, monthly…
Read More →