Reduce your Business Gas Prices
Switching your business gas supplier is one of the easiest ways to save money quickly.
Only 33% of SME businesses switch supplier every year. That leaves 2.93 million companies likely being overcharged.
We have built up a panel of trusted suppliers, meaning you can compare business gas prices and switch with confidence. Our commercial partnerships allow us to build custom business gas tariffs with exclusive prices.
We work with businesses of all sizes in many different industries. One average, we save each business £395. We’ve also helped UK businesses save over £22 million on their gas bills.
What Are The Average Business Gas Prices?
Business gas prices fluctuate regularly. We advise comparing commercial gas prices at least every 6 months. We know this isn’t always possible, but if you haven’t done this in a while you could save hundreds of pounds each year.
Here are the typical kWh prices that form the basis of annual bills.
The average business gas bill is £856 per year.
The average unit price is 4.25p/ kWh with a daily standing charge of 40p per day.
A small business using 15,000 kWh each year has an average bill of £706 each year.
A medium sized business using 35,000 kWh expects an annual invoice of £1,551.
A larger business consuming 75,000 kWh could see a £3,139 charge per year.
Source: BusinessEnergy.com 2021. All figures exclude VAT at 20% and Climate Change Levies. Prices vary by supplier and UK region. The fixed daily standing charge is usually lower than electricity by 20% for SMEs. They will be four or five times higher for larger companies.
Calculate your average bills using our online gas calculator for metric and imperial meters.
How are Business Gas Prices Calculated?
Business gas prices are calculated differently from domestic gas prices. They can be affected by several different things including:
- Business location
- Size of business premises
- Current spend on business gas
- Overall consumption levels
- Type of business gas meter
The wholesale price of gas has fallen 70% since September 2018. 2021 prices are stable at an average 22.92p per Therm.
Source: Ofgem, 2021
How Do I Switch Business Gas?
You can compare exclusive business gas deals in just 60 seconds.
We just need some basic detail about your business, and we will search the latest prices for the best deals. Our experts negotiate on your behalf and will build a custom deal to meet your requirements.
Once we have found a great deal for your business, your dedicated account manager will keep you updated throughout the switch. We will do this via our online switch tracker. If you have any problems, we are only a phone call away.
The only thing you will have to do is to provide your old supplier with a meter reading so they can send an accurate final bill.
What Happens When I Switch Business Gas?
You're likely to be overpaying for your business gas if you have not switched in a while.
Once we have all the relevant business information, we will provide you with an account manager. They will keep you updated throughout the switch. We will update you via our online tracking system. If you have any problems, we are only a phone call away.
What tariffs are available for large commercial businesses?
Our experienced team offer industrial gas users the opportunity to enter into various buying schemes to lower their costs. These solutions allow you to select fixed priced termed contracts with the guarantee of market leading rates.
If you use over 732,000 kWh of gas per year, then submit your details online or contact the commercial team on 0800 002 9822 for further information.
What is the gas procurement options are available?
Commercial gas users require specialist knowledge either through their purchasing departments or a third-party expert. The tendering process ensures suppliers are challenged to produce competitive offers.
Additional changes through flexible billing, correct meter installation and account management could provide additional discounts.
The portfolio available includes the following schemes:
- Basket pricing reduces costs by an additional 10% in some cases
- Group procuring with other gas users to leverage buying power
- Variable and fixed priced contracts
- Direct wholesale market and National Grid procurement
- Bundled dual fuel tariffs allowing further discounts
- Other tailored options are available for companies using over 2,000,000 kWh of gas per year from a single site. All invoices generated exclude VAT at the standard rate.
Frequently Asked Questions
What is the best time of year to switch commercial gas?
New tariffs are only available once your current agreement has ceased. The majority of businesses renew in April or October during the second and fourth quarters of the year. Prices tend to be more competitive during these months. As the volume of quotes peaks, the demand improves industry competitiveness.
If your contract is coming to an end, then complete our online quoting form for your meters. If you’d prefer to speak to an advisor, then call us on 0800 002 9822 for transparent quotes.
You’ll need your postcode, company address together with your meter reference number to improve accuracy. You’ll find these located on your most recent bill or original contract.
How can I find the lowest business gas rates?
All utility contracts are liable to automatic rollover terms.
Renewal letters are sent only to micro businesses. If you have more than ten employees, you need to terminate your current agreement proactively. Rollover rates can double or triple your current tariff with prices fixed for another contract term.
Before switching occurs, you must finish your current contract to be able to move to a new one.
What information do I need to compare business gas suppliers?
You can compare business gas prices online or over the phone with one of our expert advisors.
The most important piece of information we need is your annual usage figure. You will be able to find this on a recent business gas bill. This helps us provide accurate prices. For large commercial gas users you may be asked for additional consumption data to provide accurate rates.
To get an accurate quote, you will need a few things.
- Your current supplier.
- Decide if you want to switch your business electricity at the same time.
- Have a recent business gas bill to hand for annual consumption.
- Your meter numbers (also found on a recent bill).
- Know your contract end date – this should be in your paperwork from your current supplier.
When can I Switch Business Gas Without Penalty?
You can switch business gas supplier if you are approaching the end of your contract. Often you can lock-in a new contract up to 12 months before the contract end date. This renewal window varies by supplier.
If you are entering the renewal period for your business gas contract, you will have three options:
- Use an energy comparison expert to find the best available tariffs
- Stay with your current supplier with expensive renewal prices
- Check out each of the 20+ gas providers yourself and select the tariff most suitable
Option two works in the same manner as most other utilities. Your renewal offer is on average 35% to 100% higher than your current contract.
Suppliers will often hope you simply let your contract automatically renew for another one to three years. There are always cheaper alternatives in the marketplace.
Option three takes the most time. You won’t access all the tariffs that some brokers purchasing power provides.
Switching business gas should be a priority for every business. It could save you 55% on your renewal letter offer. Get energy quotes each year to check your prices are competitive.
How long does it take to switch business gas supplier?
The process of switching business gas supplier can take longer than most domestic switches. It is recommended to allow 4-6 weeks for the process.
If your current contract is coming to end, you can switch to a new business gas deal which will begin as soon as your current contract ends.
At Business Energy, we will always keep you up to date with the progress of your business gas transfer.