ESOS

What We Do

The Energy Savings Opportunity Scheme's fourth compliance phase is already underway — and with the qualification date falling on 31 December 2026 and notification due by 5 December 2027, the window to prepare properly is narrower than it looks.

Danesmead Advisory helps organisations navigate ESOS Phase 4 from first principles: confirming whether you're in scope, scoping and managing your energy audit, working with a certified Lead Assessor, and preparing a compliance submission that stands up to Environment Agency scrutiny.

Our SECR Service

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Plan

Confirm whether your organisation or corporate group falls in scope and what that means practically. 

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Collect

Coordinate site audits, data collection and energy consumption analysis across buildings, transport and industrial processes.

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Report

Draft your ESOS report, and work with a certified assessor to get it signed off.

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Monitor

Build a credible, publishable action plan and keep your ongoing progress updates on track.

Avoid Non-Compliance Penalties

Penalties for non-compliance can include financial civil penalties plus a daily accruing penalty that continues after the deadline (capped at a set number of working days), and regardless of the fine the Environment Agency publishes the name of the organisation penalised, the requirement breached and the amount, which carries its own reputational cost.

What is ESOS?

The Energy Savings Opportunity Scheme, or ESOS is the UK's mandatory energy assessment scheme for large organisations, run in four-year phases since 2014 and administered by the Environment Agency. Phase 4 runs from 6 December 2023 to 5 December 2027, with qualification assessed on 31 December 2026.

Organisations that qualify as a large undertaking on the qualification date are in scope: broadly, UK companies with 250 or more employees, or turnover exceeding £44m and a balance sheet total exceeding £38m. Corporate groups can also be brought into scope if any UK entity within the group qualifies.

Qualifying organisations must measure total energy consumption across buildings, transport, industrial processes and any other purpose not falling within those three, identify cost-effective energy-saving opportunities through audits, and notify the Environment Agency. Carbon Legal

A set of amendment regulations that came into force in July 2026 reshaped several elements of the scheme. Display Energy Certificates and Green Deal Assessments were removed as standalone compliance routes, while the ISO 50001 route was widened to allow deemed compliance where certification covers total or significant energy consumption rather than the whole of it. Phase 4 now also requires a third and final progress update, due 5 December 2031, on top of the two already required. Separately, net-zero-related requirements were deferred from Phase 4 to Phase 5, and the energy coverage threshold for audits was raised to 95%.

Recent Updates

Want to discuss your ESOS requirements? Get in touch.