Business electricity rates

What is renewable business electricity?

Renewable electricity comes from natural, renewable energy sources like sunlight, wind, rain, plants and geothermal heat - unlike fossil fuels like coal and oil which are diminishing and contribute to global warming. If your business uses more than 150 MWh a year, contact us for a quote for a renewable energy electricity tariff.

Which is cheaper, business or domestic electricity?

Business electricity rates are based on your business size and electricity consumption. They may be cheaper than domestic rates because of the amount of electricity used, but most business customers pay a higher rate of VAT - typically 20% instead of 5% for domestic electricity. Businesses also pay the Climate Change Levy which is currently 0.811p/kWh for electricity.

How does business electricity pricing work?

The first thing to remember is that you don't have to use the same supplier for both your business electricity and gas supply - although you may be able to use this to secure a better price. Business electricity unit prices may be cheaper than domestic ones because of the amount of electricity used, but most business customers pay a higher rate of VAT. Business electricity rates are based on your business size and electricity consumption - it may be calculated on a fixed or a variable rate tariff and will be based on a unit rate per kWh.

What is the VAT rate on business electricity bills?

Most businesses are charged VAT at the current rate of 20% for business gas and electricity. You may be eligible to pay the lower, domestic VAT rate of 5% depending on the type of business you own and the way you use energy. Find out more about VAT for business energy and how to apply for a reduced VAT rate.

What is micro business electricity?

You're a micro business if:

• You use less than 100,000 kWh of electricity a year, OR
• You use less than 293,000 kWh of gas a year, OR
• You have fewer than 10 employees (or their full-time equivalent) and your yearly turnover, or yearly balance sheet, is not more than two million Euros

If you're defined as a micro business, then we give you extra support with switching as set out by the energy regulator Ofgem. See help for micro businesses.

How do I compare business electricity suppliers and rates?

To start your comparison, it's useful to have to hand the amount of electricity you use a year in kWh and the date your current contract ends. Then you can:

• Compare types of business electricity contract.
• Use online comparison sites to compare business electricity rates
• You could also choose to speak to a broker to help arrange your new contract

Why should I switch my business electricity to a new supplier?

Electricity rates are constantly changing, so you could save money by switching to a better deal when your existing contract is due for renewal. You can negotiate a new deal and make sure you're getting competitive business electricity rates up to 180 days in advance.

It's not always just about cost, though. You might choose to switch for better customer support, or a tariff that suits your needs, for example if you're half-hourly metered, or looking for a green electricity tariff to help meet government targets.

With no automatic rollover contracts or exit fees, it's easy to switch your business electricity to a new supplier if you've paid all your outstanding bills..

OFGEM offer useful information on their website. It's a helpful guide on how to talk to suppliers or third party intermediaries.

What information do I need to switch business electricity supplier?

All the information you need to switch business electricity supplier can be found on your bill, including:

• Current supplier's name
• Tariff name and contract end date
• Supply type
• Details of how much electricity your business uses in kWh or by annual spend
• MPAN or MPRN number is also useful

If you need help, see how to read your bill.

Do I need to tell my current business electricity supplier that I'm switching?

No, you do not have to give any notice of your intention to leave your current business electricity supplier. To make sure your switch is as quick and smooth as possible, you should

• Make sure you're not still in a contract
• Provide a final meter reading, so your account can be settled, and a final bill generated
• Make sure you've paid all your outstanding bills before you leave

Will my business electricity supply be disrupted if I switch supplier?

No, once you've accepted a quote for your business electricity, your new supplier will take care of the switching process and agree a date to take over supply with no disruption to your business or electricity supply.

What if I want to switch business electricity supplier, but I'm tied into an existing contract?

Read your terms and conditions with care as it's possible that you may not be able to switch contracts for a set period. Your contract may mean you have to pay a charge if you want to get out of it before the end date. So, check to make sure any savings you'd make aren't cancelled out by contract penalties.

See British Gas business terms and conditions

What are deemed rates?

If you move into new business premises and use electricity without agreeing a contract with the existing supplier, you'll be on what's called 'deemed rates'. Deemed rates are typically much higher than contracted rates, so you could save a lot of money by comparing prices and switching to a cheaper business electricity tariff.

Whilst on deemed rates, you have the right to switch at any time, but to make it easier, make sure you've paid any outstanding bills.

What do I need to do about my electricity supply if I'm moving to new business premises?

Follow these steps to help make your business move smoother:

1. If you're business electricity is supplied by British Gas business, let us know the day after you move into your new premises. Tell us you're moving

Other energy providers may ask for at least one month's notice of your planned moving date.

2. Take an electricity meter reading at both your old and new premises when you move.

3. Pay all outstanding bills to make switching easier

4. Compare business electricity prices and agree a contract when you move into your new premises to avoid paying higher 'deemed' rates

5. If you're moving into a new build, you may need to pay a connection charge.

Who supplies my business electricity?

Ask the letting agent, landlord or previous tenant who supplies the electricity to your premises. If you can't contact them, you can use the Energy Networks Association postcode search tool to find out the name of your network operator and their telephone number. Your network operator will be able to tell you who supplies your electricity.

If the previous tenant of your premises has called the electricity supplier to let them know they're moving, the energy supplier may send you a letter addressed to 'The Occupier'. This letter will provide any details you need about your gas and electricity or dual fuel supplier.

Can I switch business electricity if I have more than one electricity meter at my premises?

Yes, you can have separate contracts for each of your business electricity meters. But you may find it quicker and easier to manage all your electricity contracts in one place through an online energy account

Manage your British Gas business electricity online

I need a new business electricity meter. How do I get an electricity connection or meter upgrade?

If you're moving, renovating or expanding your commercial premises, we can arrange your meter installation and electricity supply quickly and easily. Our experienced engineers install all types of meters, including smart meters and half-hourly meters for small and large businesses. Just contact us for a quote.

Business gas and electricity connections

What is green business electricity?

Green electricity comes from natural, renewable sources like sunlight, wind, rain, plants and geothermal heat - unlike fossil fuels like coal and oil which are diminishing and contribute to global warming. If you're thinking of moving to a green electricity tariff, and your business uses more than 150,000 kWh a year, we can help.

Get a bespoke quote for green business electricity

I have solar panels; can I get a business feed-in tariff?

The Feed-In Tariff (FiT) scheme ended to new applicants on 1st April 2019. If you're already registered for FiT, this won't affect you and you'll continue to receive FiT your payments.

You can apply for an existing British Gas Feed-in Tariff to be registered in your name or to switch your FiT payments to British Gas from another FiT Licensee. See our Feed-in Tariff page for more information

What is a smart meter and how do I get one?

Smart meters can help you save time by submitting automated meter readings and help you manage your energy costs to get more accurate energy bills.

Learn more about smart meters for business

What is a kilowatt hour (kWh)?

The unit of measurement for electrical energy, equivalent to the power of one kilowatt operating for one hour. A bill from your energy supplier will show your usage in kWh. To calculate your annual consumption, multiply the figure by 12.

What are the current business electricity prices per kwh at British Gas business?

Please refer to our Energy Price Plans for our latest unit rates and standing charges.

Who supplies business gas and electric in the UK?

There are around 70 registered energy suppliers in the UK, including British Gas. Contact us if you're interested in changing supplier. Energy Price Plans for our latest unit rates and standing charges.

How can I get a get a quote from British Gas for my business?

You can get a quote from British Gas for your business energy by contacting us.

Who is the best business electricity supplier in the UK?

British Gas business supplies gas and electricity to more businesses than any other energy supplier, providing energy to more than 350,000 organisations.

Do British Gas supply electricity for businesses?

Yes, British Gas can supply both electricity and gas to businesses across the UK, with Zero Carbon Electricity as standard and a range of renewable options too. You can get a quote by contacting us.

Can I switch business electricity if I am in debt to my current supplier?

You will need to clear the debt with your current energy supplier before you can switch suppliers.

What if I run my business from home and I want a quote for business electricity?

Contact us and we will work out the amount of energy you use for your business. We can give you an idea of the percentage split between your home and business. Once we know the amount split we'll be able to give you a quote for business electricity.