Compare Business Electricity Rates
It takes just 30 seconds to view the latest business electricity rates. Unlike many other business electricity retailers, you can switch entirely online.
It's 3 easy steps.
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Input a few of your business details
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Compare a range of live tariffs
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Compare Business Electricity Rates With UK Suppliers
Business Electricity Prices Per kWh 2024
Business Size |
Annual Usage |
Unit Price/kWh |
Standing Charge |
|
---|---|---|---|---|
Micro Business |
Up to 5,000 kWh |
24p |
91.3p |
|
Small Business |
5,000-15,000 |
25.7p |
75p |
|
Medium Business |
15,000-25,000 |
25.7p |
77.5p |
|
Large Business |
25,000-50,000 |
26.1p |
85.5p |
|
Very Large Business |
50,000 + |
25.8p |
100.8p |
Data correct as of September 2024. The table to the right shows current business electricity prices for 2-year contracts. Prices vary by UK region and these are the national average.
Business Electricity Tariffs
Fixed-Rate Tariff
The most popular business electricity tariff for those who want to lock in their rates to avoid future increases. You can fix your rates from 1 year up to 5 years. This means that if wholesale prices increase or decrease you will have the security of paying the same unit rate and standing charge for the agreed amount of time.
Variable-Rate Tariff
This can change each month based on the wholesale electricity prices. This means businesses more open to risk can benefit from price drops but may pay more during times of increasing rates.
No Standing Charge Tariff
Businesses that operate part-time or seasonally can benefit from no standing charge tariffs. However, they are not for every business as they often come with higher unit prices than other tariff types.
Cheapest Business Electricity Prices By Supplier
Suppliers |
Electricity Unit Rates (p) |
Standing Charge (p) |
---|---|---|
26.9p |
62.3p |
|
26.4p |
42p |
|
23.4p |
125p |
|
27p |
62p |
|
26.2p |
94.8p |
Business electricity rates displayed in the table are calculated on a 2-year fixed averged across all UK regions. Assumed annual consumption of 25,000 kWh per fuel. Prices updated 1 Setpember 2024.
Business Electricity Prices By Region
Region |
Unit Rate (p) |
Average Standing Charge (p) |
Average Annual Cost (£) |
---|---|---|---|
London |
25.6p |
59p |
£6,609 |
North East England |
26.8p |
89.1p |
£7,030 |
North West England |
27.1p |
69.2p |
£7,021 |
East Midlands |
26.3p |
78.2p |
£6,867 |
West Midlands |
26.6p |
84.7p |
£6,951 |
Yorkshire |
26.6p |
84.9p |
£6,972 |
East England |
26p |
69.1p |
£6,755 |
South East England |
26.4p |
75.5p |
£6,865 |
South West England |
27.5p |
88.6p |
£7,202 |
Southern England |
26.5p |
83.1p |
£6,933 |
North Scotland |
28p |
79.9p |
£7,294 |
Central and Southern Scotland |
27.4p |
89.3p |
£7,184 |
North Wales, Merseyside and Cheshire |
29.7p |
93.7p |
£7,769 |
South Wales |
27.1p |
87.5p |
£7,098 |
Based on average prices on a 2-year fixed rate tariff with 25,000 kWh annual usage.
Business Electricity Prices For Large Consumption
Large commercial electricity users are legally required to have a half-hourly electricity meter. Specifically any business with a maximum demand of 100 kilowatts (kW) or more in any 30-minute period. As a large consumption user, this is to ensure that billing remains accurate as estimated billing can cause lots of financial issues for a business with high usage.
You can still switch suppliers with a half-hourly meter.
Business Electricity Prices For SMEs
Small businesses need to stay in control of their electricity bills. Even with Ofgem extending protections to those that are considered micro businesses, it can be challenging to find the time to secure great deals on business electricity prices.
According to Ofgem, a non-domestic consumer is defined as a micro business if it meets one of the following criteria:
- Employs fewer than 10 employees (or their full-time equivalent) and has an annual turnover or balance sheet no greater than €2 million (£1.7 million as of August 2022), or
- Uses no more than 100,000 kWh of electricity per year, or
- Uses no more than 293,000 kWh of gas per year.
The benefit of being a micro business electricity user is that you can give termination notice anytime and secure better business electricity prices. Suppliers also have to send your renewal notices.
Business Electricity FAQs
-
When is the best time to switch business electricity?
The best time to switch will often depend on your current business electricity contract. When you enter your renewal window, you can switch without paying an exit fee. If you’re unsure when you can switch, you can find your renewal window in your business electricity contract.
If you’re currently on out-of-contract rates, you can switch at any time. You should compare business electricity prices as soon possible as out-of-contract rates are often some of the most expensive around.
-
Can I cancel my business electricity contract early?
Although it is possible to cancel your business electricity contract early, it could prove costly.
All business electricity contracts will incur an exit fee if you cancel your contract outside of your renewal window. The exact exit fee will vary from supplier to supplier. However, it is often the remaining cost of your contract.
-
How long does it take to switch business electricity suppliers?
Under Ofgem’s Faster Switching Guarantee, your switch should take no longer than five working days once you’ve selected your chosen tariff. If you’re new to premises or you require a new meter, the switch may take longer.
-
What is a half hourly meter?
Half hourly meters provide the most accurate meter readings available to large electricity consumption businesses.
Any business with a maximum demand of more than 100 kWh or greater in any 30-minute period is required to install a half hourly meter by law. If you have a maximum demand of more than 70 kWh in a half-hour period, you can also install a half hourly meter.
As the name suggests, a half hourly meter provides automatic meter readings every 30 minutes. This offers businesses the most accurate billing available as you will not be relying on estimated bills.
-
Small Business vs Micro Business Electricity Rates
According to Ofgem, a non-domestic consumer is defined as a micro business if it meets one of the following criteria:
- The business employs fewer than 10 employees (or their full-time equivalent) and has an annual turnover or balance sheet no greater than €2 million, or
- The company uses no more than 100,000 kWh of electricity per year; or
- The business uses no more than 293,000 kWh of gas per year.The main benefit of being defined as a micro business rather than a small business is that you can give a termination notice at any time during your contract which means you can always shop for the best deal.
-
What is the Energy Bill Discount Scheme?
The Energy Bill Discount Scheme (EBDS) offers companies varying levels of discount on their business electricity between April 2023 and March 2024. You don’t need to apply for the discount and you can still secure a fixed-rate deal.
- Normal consumption businesses - if unit rates go beyond 30.2p/kWh the EBDS kicks into a maximum discount of 1.961p/kWh.
- Electricity-intensive businesses - if unit rates go beyond 18.5p/kWh the EBDS kicks into a maximum discount of 8.9p/kWh.
-
Are Business Electricity Prices Cheaper With Fixed Or Variable Tariffs?
There are two main types of business electricity tariff available. Some suppliers offer more complex blended contracts, but all of them will consist of either fixed or variable elements.
Here are the key things you need to know about both types:
Fixed Tariff Business Electricity Contracts:
- Up to 5 years available, although 1-3 years is the most popular
- Fixed unit price even if wholesale prices increase
- Typically cheaper electricity rates than variable tariffs
- Tied into a contractVariable Tariff Business Electricity Contracts:
- Unit price could change month to month
- Cheaper than deemed or out-of-contract rates
- Usually more expensive than fixed-rate tariffs
- Not usually locked into a long-term contractEach contract has its benefits and is down to the individual circumstances of the business. Most businesses will choose a fixed contract when they switch business electricity as it tends to be much easier to manage in terms of expected cash flow.
-
Understanding Your Renewal Quote
Business electricity prices on your renewal can be more expensive than current market rates. Long gone are the days when it’s easier to pay more and let your contract rollover. We have made it easy to find great prices. The ability to switch business electricity suppliers entirely online allows you to get a great deal whenever you like.
We may even be able to negotiate better business electricity rates with your current supplier so you only need to be transferred onto a new tariff.
-
How To Identify Your Business Electricity Meter
When it comes to knowing what kind of business electricity meter is installed on your premises, it's worth knowing that, broadly speaking, there are two main types of business electricity meter.
Many businesses are using standard meters and larger businesses are using half-hourly meters. You can tell what type of meter you’re on based on your MPAN (Meter Point Administration Number). This number can be found on a recent business electricity bill or on your actual meter box.
- If your supply number starts with a 00 you have a Half Hourly meter.
- If your supply number starts with 03 you have Standard Meter.
- If your supply number starts with 04 you have an Economy 7-meter
- If your supply number starts with 05-08 you are Maximum Demand (MD) customer
A regulation called P272 was implemented on 1 April 2017 which means all 05-08 customers are now billed on a half-hourly basis.
Knowing what your meter type is made comparing electricity prices much easier as not all suppliers are set up to handle Half Hourly customers. Some niche suppliers only deal with half-hourly customers and won’t deal with SMEs on 03-04 profile classes. You will need to be aware of this when you switch business electricity supplier.
Despite a push by suppliers to get all customers on smart meters, many smaller suppliers are still not set up to deal with smart meters. If you would like to remain on a smart meter, you should check that your new supplier supports them before you switch business electricity.
It could be that you need a new meter installed, we offer free business electricity meter installation in some cases.