Compare business energy & save up to £1,305 a year

The average SME that has never compared saves around £1,305 a year on combined gas and electricity by moving off a deemed or roll-over tariff. The exact figure depends on consumption, region and contract length. A free online comparison gives you a tailored estimate in minutes.

In 2026, typical fixed-contract business electricity quotes run from about 27–30p/kWh for a microbusiness down to 18–23p/kWh for a large half-hourly site, with most SMEs landing around 24–28p. Business gas is roughly 6.5–9p/kWh on the same sliding scale. Out-of-contract "deemed" rates are far higher (32–45p electricity, 11–14p gas), so the single biggest saving is simply being on a contracted rate. All figures exclude VAT and the Climate Change Levy.

Business gas and business electricity are two separate markets in the UK, with different suppliers, contracts and prices. Even if you register both with the same provider, they remain two contracts. The upside is you can switch each one independently when its renewal window opens.

Only during your renewal window, typically 1 to 6 months before the end date of your current contract. Outside that window the supplier can refuse the switch. If you do nothing, you roll onto a deemed rate: Ofgem warns these can be up to 80% more expensive than a contracted price.

Most businesses pay 20% VAT. You may qualify for the 5% reduced rate if you are a microbusiness, charity or non-profit, or if your consumption is below the de minimis threshold (33 kWh of electricity or 145 kWh of gas per day on average). Ask your supplier for a VAT declaration form. See our VAT on electricity guide.

The Climate Change Levy (CCL) is a per-kWh tax on business energy, paid through your bill. You pay the full rate unless your business is exempt (very small consumption, agriculture, charity non-business activity) or you have signed a Climate Change Agreement. Our CCL guide covers the 2026 rates and exemptions.

Yes, the rollout covers profile classes 01 to 04 (microbusinesses and small businesses) at no upfront cost. The supplier funds the installation; you get half-hourly readings, accurate bills and the option of time-of-use tariffs. Read our smart meter guide to check eligibility.

For most businesses, a renewable tariff costs the same or only slightly more than a standard one and ticks an ESG box that customers, employees and investors increasingly notice. Look for REGO-backed contracts (Renewable Energy Guarantees of Origin) or a Power Purchase Agreement if you are a larger consumer. See renewable energy for business.