You can save £1,809 a year on average by switching your business energy supplier

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British Gas Lite Business Energy Review


What to consider when you compare business energy


When deciding which business energy supplier is the best fit for your needs, you should consider the following:

  • the unit rate and standing charge you are quoted
  • what kind of tariff suits your business
  • whether the energy comes from renewable sources
  • the length of the proposed contract
  • the notice period of the contract
  • whether the contract has a cooling-off period
  • the cost of any additional charges, such as maintenance charges
  • if you are using an energy broker, how much they will charge

Why you should switch your business energy supplier

As with household energy, switching your business energy supplier could save you money in the long run. This is especially true if you have just moved into new business premises, where you will typically be placed on an expensive deemed rate that you haven’t chosen.

Even under the Energy Bill Relief Scheme, if you are on a fixed-rate tariff the differences in standing charges and other costs from supplier to supplier still means you may be able to save money by switching. Similarly, due to the maximum discount for variable, deemed and out-of-contract tariffs, you could claim a greater reduction if you were to switch suppliers.

It can also help make your business greener if you choose to switch to a 100% renewable energy tariff.

How much can businesses save by switching energy suppliers?

The amount your business can save by switching energy suppliers will vary greatly depending on a number of factors specific to your organisation. This will include, but is not necessarily limited to:

how much energy your business uses, itself informed by your size, industry and energy efficiency the unit cost per kWh of your existing contract the price of the standing charges and other fees on your existing contract.


What is a good business energy rate?

Since business energy quotes are based on daily wholesale gas and electricity prices, there are a number of external factors that can influence the tariffs on offer. These include supply and demand issues, storage problems, currency fluctuations and the weather.

These issues can also contribute to the ‘hidden costs’ that are often a part of business energy bills.

When searching for a good business energy rate, it may be useful to consider the averages below.

Average business gas prices per kWh (including CCL)
Micro business8.59p
Small business5.24p
Medium business5.44p
Large business5.46p
Very large business5.09p
Extra large business6.03p

FAQs For Business Energy

  • Should I fix my business energy prices until 2024?

    Although the cheapest business energy quote may be appealing, it is always worth considering other factors as well.

    These include the customer service of the supplier in question, the length of the contract, the notice period of the contract, and whether or not the tariff uses renewable energy.

    You should also check whether the quote includes VAT, CCL and other charges.

  • What was the Energy Bill Relief Scheme (EBRS)?

    The Energy Bill Relief Scheme ran from 1 October 2022 to 31 March 2023.

    It was a government scheme designed to discount the wholesale price of business electricity and gas, in order to make bills more affordable. In order to achieve this, the government capped the price suppliers could charge non-domestic customers at £211 per megawatt hour (MWh) for business electricity and £75 per MWh for business gas.

    The Energy Bill Relief Scheme was replaced by the Energy Bills Discount Scheme on 1 April 2023.