What Is A Utility Bill?

So, what are the different types of utility bills and what are the basic outgoings that your business must incur?

A utility bill covers anything that keeps your business and home functioning, including the basic services, such as water. However, there are other essentials that can be classed under the same category, and this is often where the confusion lies. Below are the three main types of utility bills:
• Electricity: this will account for electricity usage both in the home and business premises. The average business electricity bill can be reduced by trying to be more efficient with appliances and devices, such as waiting until you have a full load before starting the dishwasher or switching off machines that are on stand-by.
• Gas: Domestic and business gas bills will go towards heating and cooling the home and premises. To save money, you could lower the thermostat by one or two degrees. Reduce your bills and help improve your green credentials by switching to green energy providers.
• Water: water bills cover all water that enters and leaves the property. To reduce your water bills, tweak your habits by shortening showers or turning off running taps. Also, fix any leaks in faucets, sinks or toilet values. You may also benefit from a business water audit.

If you’re struggling to pay your utility bills, then it’s important to act promptly and sensibly to resolve the issue.

We’ve answered your questions on the other types of utility bills below.

Council tax is a yearly charge that households must pay to receive bin collections, roadworks, and schools in their local area. When it comes to businesses, their properties are covered by business rates. But is council tax a utility bill?

While it counts as a household bill, it is not necessarily a utility bill. However, you will still need to factor this into your outgoings as it is a necessary cost.

Home-based businesses may have to pay both taxes, but you are not normally expected to pay business rates if:

• Only a small part of your home is used for your business, like a bedroom that is used partly as an office.
• You don’t use your home to sell goods or services to visitors, as opposed to selling goods by post.
• You don’t employ other people to work in your home.
• You don’t make renovations or alterations to your home that aren’t for domestic purposes, such as converting your garage into a beauty room.

Typically, phone bills are considered to be utility bills. However, this only refers to landlines rather than mobiles. The invoices sent out by telephone companies are utility bills, and they provide a service to the public at large, much like energy suppliers.

This bill is paid monthly and in full each time. You will pay the amount you have spent or a pre-agreed tariff.

It’s a vital aspect of any business, but is broadband a utility bill? Many people treat broadband as a the new utility bill example, as it’s highly unlikely that you can run a business without it. The internet is needed for everyday business operations like communication and research but is also used to keep the office running, from ordering supplies to submitting meter readings and paying bills.

Your broadband will generally cost the same each month, as you pre-agree the broadband speed you require for your premises. This will remain the same unless your provider changes the tariff.

As a business, you may not be fussed about having a TV in the office  and with multiple streaming devices available, you might not be considering getting one. But is TV licence a utility bill? If you’re ever showing live TV (like the news) in your office space, then it’s vital that you’re covered by a licence. However, a TV licence isn’t typically counted as a utility bill, although it does need to be paid annually if you wish to use its services.

The cost of your business utility bills can vary, depending on your location, local climate, how much energy you use and how big your premises are. Generally, the amount you pay for your utilities is relative to your gas and electricity usage, which will increase depending on the size of the building you own or rent.

Now you know what is a utility bill, you can start saving on them. The best way to cut costs on your business energy? Speak to an expert utility broker with multiple connections and ample experience. At Utility Bidder, we work with 27+ energy suppliers to find our customers the best quotes for their business – so you know you always have the best, most competitive price. To start saving on your utility bills, contact us today.