Energy costs are surging, and pressure to cut carbon emissions is mounting. For commercial building owners, this creates a costly and complex challenge. Birmingham-based Grid Edge is stepping up with a smart AI solution that promises to cut energy waste—without the need for expensive retrofits.
The UK startup has just secured £2.8 million in fresh funding to expand its reach. Investors in the round include Midlands Engine Investment Fund II, Mercia Ventures, bp Ventures, Centrica, and several private backers. The deal is still pending approval under the National Security and Investment Act (NSIA).
Founded in 2016, Grid Edge has developed an AI-powered platform that helps large buildings reduce their energy usage, cut emissions, and save money—all while working with their existing infrastructure. The software analyzes real-time data from meters, sensors, and building management systems, alongside external sources like weather forecasts and energy tariffs. From there, machine learning models identify patterns and offer actionable insights to eliminate energy waste.
According to Grid Edge, clients typically achieve up to 20% reductions in both energy costs and carbon emissions, often seeing a full return on investment in under six months.
Growing Demand as Buildings Go Green
Grid Edge’s technology is already being used in high-profile UK sites like Birmingham’s Bull Ring shopping center and the Royal Opera House in London. It also supports operations for facilities management giants such as Amey, Equans, and OCS.
With this new funding, the company plans to aggressively scale its impact. Grid Edge will grow its team from 28 to over 40 employees, and aims to boost the number of buildings on its platform from 120 to 400 locations. Over the past year, the company has already recorded a 150% increase in annual recurring revenue.
CEO Paul McCorquodale emphasized the company’s mission:
“We’re simplifying the complexity of building energy management. Our platform empowers operators to reduce emissions and cut costs—fast. That clarity and value are driving huge demand.”
Strong Backing for a Greener Future
The startup’s roots trace back to Aston University, where co-founders Jim Scott, Dan Wright, and Tom Anderson first met. Later, they were joined by Richard Moore, a former Deloitte US consultant, and McCorquodale, who brings experience from EE and Amber Energy.
Investors see a timely opportunity. Beth Bannister of the British Business Bank said the fund is backing Grid Edge to support the Midlands’ innovation economy. Meanwhile, Rafael Joseph of Mercia Ventures noted the startup’s relevance amid rising energy costs and tighter carbon reporting regulations.
As commercial buildings come under increasing pressure to report and reduce emissions, Grid Edge is betting that intelligent software—not just expensive upgrades—can deliver fast, measurable results.
