When most business owners in Surrey or Hampshire think of risks to their company, they usually picture competition, rising costs, or market downturns.
But what about fire?
You might be surprised to learn that fires cost the UK economy around £12 billion every year (UK Government, Home Office).
That’s a massive figure—and the real impact on businesses is often far worse than most people realise.
At ESI: Electrical Safety Inspections, we work closely with small and medium-sized businesses to make sure they’re protected before disaster strikes.
Here’s what every business owner should know.
Fires Are Rare… Until They’re Not
Despite the overall number of incidents decreasing, UK fire and rescue services still responded to over 590,000 incidents last year.
Many of these involved commercial buildings, and the average cost of a serious fire in a business?
A staggering £657,074 per incident ([Aviva, 2023]).
For many small businesses, that’s not a setback—it’s a complete shutdown.
Which Industries Are Most at Risk?
Some sectors are more vulnerable than others. According to Home Office fire data, the biggest hits are being taken by:
- 🏭 Manufacturing – Over £800 million in fire-related losses
- 🛒 Retail – Responsible for 15% of major fires
- 🍽️ Hospitality and food service – Prone to kitchen fires and electrical faults
Even more worrying, many fires are preventable. Electrical faults alone have caused over 4,000 business fires in just three years.
“When you look at the cause of most commercial fires, it’s usually something simple—an overloaded circuit, poor maintenance, or faulty wiring,” says Jamie Morgan, Director at ESI. “The tragedy is that it could have been prevented with a routine inspection.”
Direct and Hidden Costs Add Up Fast
The obvious damage—burnt stock, equipment loss, structural repairs—is only part of the picture. The breakdown of major fire losses looks like this:
- 🔥 43% – Building damage
- 🛑 18% – Business interruption (like lost sales)
- 🪑 7% – Contents damage
- 📦 5% each – Stock and machinery damage
But there are hidden costs, too:
- Loss of customer trust and brand damage
- Delays in the supply chain
- Higher insurance premiums
- Long-term revenue dips
And that’s before we even get to the environmental impact. Fires release harmful chemicals into the air and water, and clean-up often leads to soil contamination and biodiversity loss.
What About the Bigger Picture?
The Grenfell Inquiry highlighted just how deep the economic damage from fire can go.
According to findings, preventable warehouse fires alone have cost the UK economy £1 billion in GDP and 5,000 jobs over just five years.
The Treasury also took a hit, with £160 million lost in tax revenue during the same period.
“Fires don’t just damage buildings—they stall economies, ruin livelihoods, and devastate communities,” adds Jamie.
How to Protect Your Business in Surrey or Hampshir
The good news? Most of this can be prevented with proactive fire safety measures. Here are the steps we recommend at ESI:
✅ Electrical Installation Condition Reports (EICRs) – Every 5 years for commercial properties
✅ Fire Risk Assessments – Annually, or sooner if changes occur
✅ PAT Testing – Regular testing of all portable appliances
✅ Clear Fire Signage – Large, visible signs tailored to your premises
✅ Fire Safety Training – So your staff know what to do in an emergency
✅ Insurance Review – Ensure you’re covered for fire-related losses
Even something as simple as a well-placed fire extinguisher or a functioning smoke alarm can make the difference between a near-miss and a full-blown disaster.
It’s Time to Take Fire Seriously
From Guildford to Basingstoke, Camberley to Winchester, businesses across Surrey and Hampshire are exposed to fire risks every day—often without realising it. Don’t wait until a spark becomes a story on the evening news.
With fire-related losses averaging hundreds of thousands of pounds and many businesses never reopening, taking preventative action isn’t just wise—it’s essential.
Need help protecting your business?
👉 Contact us today at www.esielectrical.co.uk
✅ Serving Surrey, Hampshire, Berkshire & surrounding areas
📞 Book an EICR, fire risk assessment, or safety audit with ESI
Protect your people. Protect your property. Protect your profits.
Let ESI help you stay safe, stay compliant, and stay open for business.
