Business Energy

If your company is premises-based, you’ll need a supply of energy to keep the workspace well-lit, the equipment up and running, and the temperature comfortable. Check out our guides and reviews to compare top UK suppliers, and use our free quote-finding tool to get prices tailored to your business.

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What is Business Energy?

In the same way you need electricity and gas to run a home, you also need them to run a business premises. Also known as commercial energy, business energy differs from domestic in that you can buy it in bulk at discounted rates. This is because your business will likely need to use a lot more energy than a typical British home. The energy tariff that best suits your business will depend on factors including the size of your company, and where in the UK you’re based.

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Expert Market has specialist teams who have developed in-depth industry knowledge to help you find the best solution for your business.

Contact us to ask more questions and get specific advice on business energy.

How much does business energy cost in the UK?

This depends first and foremost on the size of your business, and how much energy it uses. As of Q2 2021, the average cost of electricity and gas for UK startups is £1,369 per year. Meanwhile, costs for small businesses are currently averaging at £2,894, and at £8,012 for medium-sized businesses.

You can learn more about current costs by taking a look at our comprehensive guide to business energy.

Is business energy cheaper than domestic energy?

If you were to compare average per-unit rates for domestic and business energy, business rates would always be cheaper. In fact, as a general rule, the larger the business, the cheaper the unit rate.

However, businesses are subjected to some charges that domestic customers aren’t. For example, businesses must pay 20% VAT on top of their energy bills (compared to domestic customers’ 5%), though some businesses can qualify for a lower rate.

As well as additional VAT, businesses also have to pay the Climate Change Levy (CCL), which can bump up the cost of electricity by between half a penny and one penny per kWh.

How often should I switch business energy suppliers?

We recommend looking into switching gas and electricity suppliers every single time your contracts run out and are up for renewal – most likely, every year.

Securing cheaper bills isn’t the only benefit of regularly shopping around and switching. It also gives you the opportunity to seek out better customer service, choose more eco-friendly tariffs, and take advantage of sign-up offers and discounts for new customers.

How do I compare business energy quotes?

It’s easier than you might think. You can use our free quote-finding tool to compare energy rates that have been tailored to your business from top UK suppliers. It’s the fastest and easiest way to compare suitable options for you.