Business gas prices

Many businesses pay far higher business gas prices than they need to. Here we'll show you how to make sure you get a great deal on your business gas.

Top tips for getting the best business gas prices

1. Always compare business gas prices from a range of suppliers

Prices vary wildly between different suppliers, so this really is the golden rule: never, ever sign a contract until you’ve checked that the price you’ve been offered is competitive. You can do this yourself, by ringing round all the different business gas suppliers or our London-based team are on hand to do it for you. We can save you a lot of time by comparing business gas prices from multiple suppliers on your behalf. The fastest way to get a quote is to give us a ring on 0800 688 8568, or leave your details and we can call you.

2. Balance the unit rate and standing charge.

While most business electricity tariffs have a standing charge, not all gas tariffs do. Whether or not a tariff with a standing charge is right for your business will depend on how much gas your business uses. If you’re a heavy user, a low unit rate is vital, but if you use relatively little gas, you might be better off with a low (or no) standing charge and higher unit rate. Our energy advisors can find a tariff with the combination of standing charge and unit rate that suits your business.

3. Don’t forget the extras

There are a few extras that will go on your gas bill: IGT charges, VAT and CCL. Some business premises are served by independent gas transporters (IGTs) instead of Transco. If you get your gas via an IGT you may find that prices are higher because the gas supplier will have to pay the IGT a fee to use their pipes. VAT is charged at 20% on business gas bills. However some businesses only have to pay 5%, for example if you have a domestic/residential element to your business e.g. a care home or a caravan park, or if you are using an average of 145 kWh of gas a day or less. The CCL is a government levy, charged at 0.177p per kWh. You do not pay CCL for any renewable energy you use and businesses that use less than an average of 145 kWh of electricity a day are exempt. Our advisors will calculate all three of these extras for you, so you’ll really know how much you’re paying.

4. Think about a long-term contract

By signing up for a long-term contract (for example three or even five years) you can fix your gas prices for the whole period of the contract. You’ll pay a premium to start off with, but with the upward trend in business energy prices you’ll almost certainly see savings in the long run.

5. Do all you can to avoid out-of-contract rates

You’ll pay out-of-contract or deemed rates if your contract runs out and you don’t have a new contract ready to switch to, or in the period when you move into new premises before you can sort out your contract. This is an expensive position to be in - out-of-contract rates are double in-contract rates, so you should avoid ending up in a situation where you have to pay them at all costs.

6. Don’t hang about

Both business gas and electricity prices are volatile - they change almost every day. When you get a quote you’re happy with, it’s a good idea to snap it up there are then, because you can’t guarantee that that price will still be available the next day.

To get a quote and compare business gas prices get in touch or give us a ring on 0800 688 8568.