Costs across the UK are rising for every business and household. From increasing costs of energy to changes in local economies, many businesses are feeling the strain. Companies like ours that rely on large quantities of power to run our service have been significantly impacted by these differences. We think it’s important to talk about the impact of these changes and have 100% clarity surrounding our growing costs and plans for the future.

Why is catalyst2 affected by rising energy costs?

Most businesses have felt the impact of the current global and economic climate, with rising energy costs leading to additional costs to absorb into the business. Our role as a hosting company means we rely on affordable energy costs to provide a high standard of service at a cost-effective price.

To provide our services, we run hundreds of servers 24 hours a day, 7 days as week. As energy prices have climbed (+38%) , so have the costs we need to pay out to keep everything up and running around the clock. Much like households facing with higher costs for gas and electricity, businesses like ours are working hard to manage these significant price changes far beyond what we had planned for.

What else is affecting the service?

Alongside the rapid rise in energy costs, our team has also had to deal with significant changes in the pounds value over the last year. As we source a significant portion of our hardware and licences from the US to provide our service, we’re suddenly paying out much more than we used to.

While currency rates remain where they are, we have to handle both the differences in energy costs and the change in the value of the pound. We’re one of many hosting providers and server hosts in the same boat. That’s why we think it’s essential to be transparent and honest about how these changes have impacted our business. Plus, the processes and practices we’re using to prevent these changes from leading to poorer service or unreasonable costs.

What are we doing about it?

Our primary goal at catalyst2 is to effectively manage rising costs and whilst continuing to provide the exceptional level of service our customers have become used to. If costs continue growing, we may need to revise our current strategy and decide the best way forward for our recurring and future customers. As always, our top priority is continuing to provide the high standard of service and inclusive packages that many of our customers rely on for their own businesses or personal requirements.

As we move towards 2023, we’re starting to plan what the next year will look like and what we can do to continue running as we always have. During this time, we’ll ensure our customers are kept up-to-date on any changes and receive full notice of any adjustments we have to make to keep doing what we do best. Whether you’re looking for a reliable hosting provider or a long-term customer, we ensure we’re clear about what lies ahead, so you’re never in the dark.

Have any questions or queries? Speaking to our friendly team directly is the ideal place to start. Call us on 0800 107 7979 or email