Compare Business Energy Prices

Did you know that the energy we use at home only accounts for a quarter of the total energy used in the UK? The remaining three-quarters is attributable to business energy and transport energy. Let's have a look at which sectors use the most energy, and which utilities sources they use:

How is energy measured?

To be able to compare business energy sectors effectively, we will use the 'KTOE' unit, which means 'kilotonne of oil equivalent'. All information comes from the Office of National Statistics in a report published in July 2018. 

The results

- Private offices – 3,539 ktoe

- Chemical manufacturing – 2,874 ktoe

- Hospitality – 2,458 ktoe

- Food products manufacturing – 2,242 ktoe

- Hospitals – 2,237 ktoe

- Non-metallic mineral manufacturing     1,924 ktoe

- Basic metals manufacturing – 1,489       ktoe

- Rubber and plastic manufacturing –       1,442 ktoe

- Small shops – 1,376 ktoe

- Paper products manufacturing – 1,297 ktoe

The results show that an abundance of small machines appears to be less energy efficient than the use of large, industrial machines. Private offices containing computers, photocopiers, network hubs, projectors and phones burn the most energy, whilst the manufacture of paper to stock these offices creates the least. The intensive heat required for chemical processing places it high in the list, whereas simpler industrial processes such as rubber weigh in at substantially lower energy rates. Even small business energy prices have a large influence on the UK's consumption.

Source

Comparing business energy prices is time consuming. If you don’t have the correct contacts and knowledge, then arranging the best deal for your business is difficult. Searching online can lead to gathering generic offers that do not comparison sites energy the most up to date prices. If your energy tariff is not tailored to your business, this can lead to later complications. We can resolve business energy solutions by speaking to our account managers, ensuring that you secure the best commercial energy deal. 

Most of our customers tell us that time is a precious commodity and running their business provides challenges. Researching, negotiating and agreeing the best energy contracts with suppliers takes a lot of time and considerable effort. At Utility Bidder, the breadth and depth of our research means we can analyse the energy market for competitive prices. Our “Premier” status and strong relationships provides us with access to bespoke energy offers and savings that might not be available otherwise.

Allow for more of your time to be spent concentrating on your business.

There are many third-party intermediaries in the market at the moment serving customers to gain the most competitive energy contracts. It can be hard to navigate through all the Broker or Consultant alternatives, however, at Utility Bidder we believe that our customers know best and their opinion of what we do is the most important. Trustpilot is an independent review platform where customers can share their experience and our current, incredible score of 9.7, puts us at the top percentile of satisfied customers within our market. Our Premier status demonstrates that our suppliers endorse our approach. 

Business energy prices are continuously changing and generally with an upwards curve. When comparing to 2016, energy prices have risen around 15% across the board. Utilising a energy broker that has access to the best, live prices, will help you save money for your business. Finding the most competitive business energy deal can result in some companies signing contracts with suppliers that can cause them issues in future. Subsequently, the cheap offer no longer is cheap! Accessing a brokers knowledge of the sector will help ensure that your business energy are tied in safely.

If your out of contract then you may wish to switch commercial energy quickly. If your with a good supplier for your area, price depending, we may suggest that you renew with your current provider. However, there’s many different questions that could effect the decision on your next supplier. If switching energy supplier is necessary then we will manage the whole process for you so you can concentrate on running your business.

In order to make sure you get the best possible deal for business energy, you need to be aware of the different factors that influence the quote you will be provided with. Not only can this help you to get a good understanding of your bill, but it will also empower you to make changes that can reduce your overall energy expenditure. So, let’s take a look at what influences your business energy quote in further detail…

The type of company you own

The type of business you own will have an influence on your consumption pattern. After all, not all companies work the standard hours of 9 am until 5 pm, Monday to Friday. If your business requires a lot of energy on the weekend, it is likely you will be on a different rate. Weekend rates are usually lower because there is less demand on the network.

The meter you have

You can usually save money by signing up for a smart meter. A smart meter carries out meter readings automatically for you so that you do not have to. When compared with a standard meter, a smart meter can save you money because it ensures your energy provider receives accurate figures so you never pay too much. Standard meters often use estimates, which can result in people paying for energy they haven't used.

Your energy provider

Of course, your energy provider makes a big difference. Naturally, some providers are cheaper than others!

The length of your contract

The length of your contract will impact your unit rates and daily charges. On average, for every year you extend your contract, between two and six per cent is taken from your standing charge. However, roughly six per cent is added to the unit cost per annum. You also need to consider the fact that some suppliers may offer you a cheaper rate in order to lock you into a longer contract.

Where your business is located

Prices also vary depending on your geographical location. Scotland has some of the most expensive energy costs, while the Midlands has some of the lowest.

The average energy consumption of your business

Finally, your average energy consumption plays a huge role. Typically, the more energy you use, the lower your price is per unit. Suppliers will use data from your previous energy supplier to determine this.

Energy costs are always changing and it can be hard to keep up. Many businesses will switch energy suppliers looking for a cheaper deal but that’s not the only factor that needs to be taken into account. Where your energy is coming from and how much you are using are coming under increasing scrutiny.

Climate change

With the ever-increasing evidence of climate change, pressure is being continuously applied to companies to ensure that they are being more environmentally friendly. That means that companies will have to adapt to the demands for fear of being left behind.

There have been a number of large changes that have affected businesses over the years and it appears the lack of fossil fuels will be another. As with the likes of the internet and smartphones, companies will have to embrace the changes.

Switching energy for businesses

Business energy can be huge expenses for any company. Switching suppliers can cut down on those costs but you can also look for a company that will be able to give you your needs in a more efficient way.

This will mean that you will have more than one reason to compare energy suppliers while also being at the forefront of being an energy-conscious business. It’s important for a company not to get complacent with their energy costs and looking for cheaper solutions can end up saving you a lot of money and also help to save the planet in the process.

Saving money expert on energy

When you combine using an efficient supply of energy with energy saving measures then you will be able to make further money savings. A huge focus is now on the energy consumption of companies and this is only going to increase in time. This could start to affect the profitability of a business as more people want to use energy-efficient companies. 

Switching energy supplier can be great for a wide variety of different reasons. If you’re thinking of making the change then contact Utility Bidder today and we will help you to find the best deal.

If you're moving to new business premises or planning to change energy supplier, setting up a new commercial power contract can help cash flow immensely and ensure business finances are maximised to the full. 

The team at Utility Bidder offer the following advice for any organisation to consider prior to entering into a business energy contract.

Business energy contract tips:

These useful tips will help you to achieve a better understanding of business energy contracts and any applicable rules:

1. Half-hourly readings 

If your business is rated as profile class 5 to 8, you will need to move to an advanced meter supplying half-hourly readings. This does not mean your bills are likely to increase, in fact, it should help you spread usage throughout the day and ensure savings are made. Different suppliers offer varying rates, so switching energy suppliers or changing tariffs can be very cost effective for any business. You can find out more about half-hourly readings and advanced meters on the UK government's Ofgem website. 

2. Microbusiness energy contracts

Small micro businesses are offered different business contracts to those given to larger organisations. It is a legal obligation for suppliers to provide micro businesses with a 30-day termination window for business energy contracts. Also, suppliers need to advise micro business clients about energy use and give them an energy price comparison as contracts near their end. Find out more about micro business energy contracts at Ofgem

What about deemed contracts?

Deemed contracts exist when businesses move into new premises and adopt the energy suppliers and contractual arrangements already in place. Deemed contracts are estimated to cost 80% more than negotiated contracts, and at least 10% of micro businesses use them. This means it's vital to look around for the best energy deals on the market and switch to a contractual arrangement at the earliest opportunity

Utility Bidder can help organisations of any size source the best energy contracts on the market. We are the experts at sourcing the gas and electricity contracts most suited to any business needs. Get in touch to find out more.