BusinessAccount.uk
Facts checked JUL 2026

Business electricity: no price cap, and no excuse to sit on a rollover

Business electricity averaged 23.8p/kWh in 2025, has no Ofgem price cap, and is priced per meter rather than off a public tariff, so the number on your bill depends on when you last signed and whether anyone shopped it around. It is bought on fixed-term contracts of one to five years, and the most expensive place to be is the default: the deemed or rolled-over rate you land on by doing nothing. This page explains how business supply actually works, the three ways to buy it, and the traps that keep firms overpaying, without a made-up tariff table, because your real rate only exists once a supplier quotes it.

Three ways to buy business electricity · checked 4 July 2026
RouteCost to youBest forThe catch
Comparison brokerFreeGetting the whole market quoted in one goCommission is baked into your rate
Direct from a supplierFree to quoteChecking a broker quote, or if you like a supplierYou only see that one supplier's price
Doing nothingHighestNobodyDeemed or rollover rates are the dearest there are

Compare the market in one go: the brokers

Bionic

Free to use

Human account managers who handle the switch, across every business utility in one place

Covers electricity, gas, broadband, mobile, insurance. Paid a commission by the supplier when a contract completes, included in the unit rate you pay. Bionic tells you the commission band before you sign and the exact figure on request.

Compare business energy at Bionic

Love Energy Savings

Free to use

A large panel of business suppliers compared in one quote, commission disclosed on request

Covers business electricity and gas. You pay nothing directly; commission is a small uplift within the quoted unit rate, typically around 3% of the contract value, with a breakdown available on request.

Compare at Love Energy Savings

AquaSwitch

Free to use

The one that also compares business water, useful if you are reviewing every utility at once

Covers business electricity, gas and water. Commission-funded by suppliers, built into the rate, like the others.

Compare at AquaSwitch

Or go direct to a supplier

A broker quotes the market for you, but you can also go straight to a supplier, and it is worth doing at least one direct quote to sense-check the broker's number, since commission sits inside the rate they return. The main business suppliers are British Gas Business, Octopus Energy for Business, EDF Business, E.ON Next Business, TotalEnergies, Crown Gas & Power. Octopus Energy for Business runs a quick online quote tool, which makes it the easiest direct comparison against whatever a broker sends back. Note that some large-account specialists have stepped back from the very smallest businesses, so a micro-business is usually better served by the mainstream suppliers or a broker panel.

Why business electricity is not like home electricity

Four differences change how you should buy it. There is no price cap, so nothing stops a supplier quoting a poor rate, and nothing except a new contract moves you off one. Gas and electricity are quoted and contracted separately, so there is no domestic-style dual-fuel single tariff to reach for. There is no cooling-off period once you agree a business contract, even over the phone, so the moment to negotiate is before you say yes, not after. And contracts run for a fixed term of up to five years, which means the decision you make now is locked in for a long time, for better or worse.

The traps that keep firms overpaying

  1. Automatic rollover. Let a fixed contract lapse and the supplier rolls you onto new terms automatically. Micro-businesses cannot be rolled for more than 12 months, but the rolled rate is rarely competitive, so diary the end date and act before it.
  2. Deemed rates on day one. Move into a premises and use power before agreeing a contract and you are on deemed rates, among the most expensive going. Sort a contract as you move in, not after the first bill.
  3. Hidden broker commission. Commission is inside your unit rate. Since October 2024 suppliers must disclose it in the contract's main terms, so read that line, and Ofgem is moving to regulate brokers directly, so the disclosure will only tighten.
  4. Auto-renewing without a quote. The single cheapest habit is to re-quote every renewal rather than signing what lands in the inbox. A broker and one direct quote take an afternoon and set your biggest fixed overhead for years.

Questions people actually ask

How much is business electricity per kWh in the UK?

The average non-domestic electricity price was about 23.8p per kWh in the second quarter of 2025, or 24.3p including the Climate Change Levy, according to government DESNZ figures. Your own rate is quoted per meter based on usage, location, contract length and credit, so there is no single published price the way there is for homes.

Is there a price cap on business electricity?

No. The Ofgem energy price cap covers domestic customers only; there is no cap on business energy. Business supply is sold on fixed-term contracts of up to five years at bespoke rates, which is why comparing before you sign, and before your contract rolls over, matters far more than it does at home.

How do business energy brokers make money?

Commission from the supplier, built into the unit rate you pay, so the service is free to you but not free. Since 1 October 2024 suppliers must disclose that broker commission within the contract's main terms, so you can see it. Love Energy Savings puts its commission at typically around 3% of contract value.

What is a deemed rate and why does it matter?

A deemed rate is the expensive default you are placed on when you use energy at a new premises before agreeing a contract, or when a fixed deal ends without a new one. Deemed and out-of-contract rates are among the highest a supplier charges, so moving off them quickly is usually the fastest saving available.

Am I a micro-business, and does it protect me?

You are a micro-business if you meet any one of these: fewer than 10 employees and turnover under £2 million, or you use under 100,000 kWh a year of electricity, or under 293,000 kWh a year of gas. Micro-businesses get extra Ofgem protections, including a cap of 12 months on automatic rollover and access to the Energy Ombudsman.

Figures checked 4 July 2026; confirm details with the provider before applying. We may earn a commission through links on this page.