How to Find the Best Energy Deals for Your Business
Small business owners are currently facing the challenge of dealing with rising electricity costs, which are causing a great deal of stress. The cost of living has also increased, exacerbating the situation. With the recent price hikes due to the war in Ukraine, it’s crucial that small businesses find ways to save money on energy bills. It’s important to note that small businesses are not protected by the consumer energy price cap. Therefore, it’s essential to compare tariffs and customer feedback on various suppliers, such as Bulb, EDF, and Octopus, to determine the best energy deals for your business. However, it can be time-consuming to research suppliers, so it’s crucial to avoid rushing into a contract that isn’t right for your business.
Compare Business Electricity Costs in a few quick steps:
Businesses can take advantage of available tools that allow for free comparison of energy rates. These tools generate personalized quotes, which enables businesses to make informed decisions on the best supplier based on various factors. These factors include cost, support, and contract length, all of which are important considerations when choosing a supplier. The use of these tools is entirely optional, and businesses are not obligated to purchase from any of the suggested suppliers. This means that businesses can explore different options and choose the best deal that suits their specific needs. Be smart, save yourself time and effort, and compare energy providers online.
Business Energy Government Support
The UK government made an announcement on the 21st of September 2022, regarding its decision to offer a discount on wholesale gas and electricity prices to non-domestic customers, including businesses. This move was aimed at providing support to businesses that have been hit hard by the significant increase in energy costs. The support package applies to fixed and flexible tariffs that were agreed upon from the 1st of April, 2022. Businesses that are eligible for the support will automatically receive a discount of £6.97 per megawatt hour for gas and £19.61 per MWh for electricity. However, smaller businesses with energy costs below £107 an MWh for gas and £302 an MWh for electricity will not receive support.
The discount scheme will be implemented automatically, and customers do not need to take any action or apply to receive the discount. The discount will be reflected on their energy bills from the 1st of October 2022 to the 31st of March, 2023, for the initial support package. The reduced support package will last until the 31st of March 2024. Although the government’s actions provide some relief for businesses, it’s still advisable for businesses to seek out alternative quotes to secure the best possible deal. This is because different energy suppliers have different pricing models, and it’s important for businesses to evaluate different options to ensure they are getting the best deal possible.
How much can my business save?
Each business has unique energy needs, so it’s challenging to determine the exact savings from switching commercial energy suppliers. Energy providers assess several variables, including the size of the business, floorspace, number of employees, location, energy consumption, the wholesale cost of gas and electricity, and contract length, to calculate a bespoke deal. These variables can significantly influence the amount you could save, and therefore, the only way to accurately assess your potential savings is to compare quotes from multiple energy suppliers.
By comparing prices, you can evaluate the deals offered by different energy providers and decide which one suits your business needs while providing cost savings. When you are comparing business energy suppliers, there are two important costs that you need to consider to determine the overall price you will pay for your business gas and electricity. These two costs are the cost of energy and the standing charge.
The cost of energy refers to the price you will pay for the gas and electricity that you use. This is typically measured in kilowatt-hours (kWh), and you will be charged for each unit of energy that you consume. It’s important to pay attention to this cost, as it can vary significantly between suppliers, and even between different plans offered by the same supplier. The standing charge, on the other hand, is a flat fee that is charged daily for supplying your business with gas and electricity. This fee covers the cost of maintaining the infrastructure needed to deliver energy to your premises and is not directly related to the amount of energy that you use.
To find the best energy deals for your small business, it’s important to compare tariffs and customer feedback from various suppliers. Take advantage of available tools that allow for free comparison of energy rates to make informed decisions on the best supplier based on various factors such as cost, support, and contract length. The UK government is also offering a discount on wholesale gas and electricity prices to non-domestic customers, including businesses, to provide support to those hit hard by the significant increase in energy costs. However, it’s still advisable to seek out alternative quotes to secure the best possible deal. When comparing business energy suppliers, consider the cost of energy and the standing charge, as they make up the overall price you will pay for your business gas and electricity. By comparing prices, you can evaluate the deals offered by different energy providers and decide which one suits your business needs while providing cost savings.