60% Of Businesses Look To Adapt Operations In Response To Extreme Heat

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• 60% Of Businesses Look To Adapt Operations In Response To Extreme Heat

07 September 2026 | Updated 06 September 2026

According to the Q2 Barclays Business Prosperity Index¹, 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

Barclays Business Prosperity Fund

To support businesses to invest in resilience and growth, The Barclays Business Prosperity Fund is available for new and existing Business Banking customers and UK Corporate Banking clients across the UK to apply for lending and refinancing on existing projects.

£22bn is the total amount of lending Barclays has available to lend and support business growth among Business Banking and UK Corporate Banking clients in 2026. Subject to normal lending assessment, status and application. Terms and conditions apply.

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.” 

Constable added: “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 at 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.”

Parker continued: "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."

1. The Barclays Business Prosperity Index – see here.

Picture: An image of two professionals inside an industrial manufacturing facility. Both are wearing hard hats and conversing whilst looking at a tablet.

Article written by Dave Mapps | Published 07 September 2026

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