Is There a Business Energy Price Cap?
The energy crisis has hit businesses in the UK hard, causing operational costs to soar and having a devastating impact on financial security. It’s an issue that’s left many SME owners questioning whether the energy price cap Ofgem has in place to protect domestic consumers applies to business energy customers.
Unfortunately, there is no such safety net for businesses – there is no business energy price cap.
At the height of the energy crisis, the government introduced the Energy Bill Relief Scheme (EBRS) to provide business owners with some financial support with their energy bills. This was introduced on 1 October 2022 and ran for six months – ending on 31 March 2023.
The EBRS has since been replaced by the Energy Bills Discount Scheme (EBDS) , which came into effect on 1 April 2023 and will conclude on 1 April 2024. However, neither of these schemes offer or offered a cap on business energy prices.