Compare Business Electricity Prices
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Why Compare Business Electricity Prices?
Business electricity prices have significantly dropped to a stable level since the peak of the crisis. This means now is a great time to compare electricity prices and consider switching. There could be some significant savings to be made as there has been an average increase of out-of-contract electricity rates by 130% according to the BSE.
It takes just 30 seconds to compare electricity prices and you can switch to a better deal online.
Business Electricity Comparison From Trusted Suppliers
Ready to start saving on your business electricity? Click the supplier logo of one of our 12 trusted suppliers below to read more.
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How To Compare Business Electricity Prices
Simple business electricity rate comparison in just 30 seconds.
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When Is The Best Time To Switch Business Electricity Suppliers?
Business electricity rates have dropped significantly since the crisis and have entered a period of stability according to GOV.UK. Whilst we cannot predict future wholesale prices, regularly comparing electricity rates is good practice for securing a great deal.
Predictions by Cornwall Insight suggest that prices may increase. Although it is a heavy guessing game and prices could go up or down. The truth is that nobody knows for sure. The best time to switch suppliers is when your contract is coming to its end date.
Many businesses like the certainty of a fixed-rate electricity deal so they can project bills effectively. We offer a large panel of UK suppliers dedicated to helping secure a great deal.
Business Electricity Prices Per kWh 2025
Business electricity rates differ from one company to another, meaning there is no standard price per kWh of electricity. The most favourable electricity deal for your business will depend on your location, as well as your energy usage patterns—how and when you consume electricity. Additionally, these prices fluctuate daily.
| Business Size | Annual Usage | Price per kWh | Daily Standing Charge | Compare live tariffs |
|---|---|---|---|---|
| Micro Business | 0 to 5,000 kWh | 25.9p | 53.5p | Live Tariffs |
| Small Business | 5,000 to 15,000 kWh | 25.6p | 63.4p | Live Tariffs |
| Medium Business | 15,000 to 25,000 kWh | 25.4p | 70.1p | Live Tariffs |
| Large Business | 25,000 to 50,000 kWh | 25.6p | 95.4p | Live Tariffs |
| Very Large Business | 50,000 to 100,00 kWh | 25p | 109.1p | Live Tariffs |
Updated January 2025. Prices are based on an average annual two-year business electricity contract. These prices reflect a live market and are subject to fluctuation.
How Business Electricity Prices Are Calculated
Understanding how the energy market operates can help you secure better business energy rates. A key indicator that it might be a good time to switch providers is when wholesale energy prices decrease. However, this isn't the only instance when it’s advantageous to review and secure your energy costs.
Business electricity prices include four costs that are included in your monthly bill. These are:
- - Unit rate - charged in pence per kWh
- - Daily standing charge - charged in pence per day
- - VAT - charged at 20% or 5% if you are eligible
- - Climate Change Levy (CCL) - charged at 0.775p per kWh
Several factors influence how business energy prices are calculated, and it’s not solely dependent on the wholesale market. You may find cheaper business energy tariffs based on your annual consumption, your geographical location, and the type of meter you use.
A business operating mostly in the evenings and weekends may benefit from Economy 7 & 10 meters - whilst larger companies may require a half-hourly meter if they have a peak load electricity usage of 100kW and above.
Before committing to a long-term business energy contract, it's wise to evaluate how and when you consume energy.
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Small Business Energy Deals
We specialise in finding electricity deals for small, medium, and micro businesses. Our self-service online platform is designed for small businesses, allowing you to compare energy prices and switch providers easily, anytime and anywhere. Start your journey today with our simple online energy comparison.
Unsure what category your business falls into?
Micro Business Electricity
You're a micro business if any of the two following applies:
- 10 employees or less
- annual turnover of £632,000 or less
- the balance sheet has £316,000 or less
SME Business Electricity
You're a small business if any of the two following applies:
- 50 employees or less
- annual turnover of £10.2 million or less
- the balance sheet has £5.1 million or less
If you're above these thresholds you may be able to access cheaper business electricity rates as your overall consumption will be higher.
Large Business Energy Quotes
Typically larger consumption companies have access to cheaper unit rates as they are purchasing much more than SMEs. We offer tailored quotes with a variety of additional services available including multi-rate, multi-site, half-hourly meters and energy management systems.
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Cheapest Business Electricity Prices By Supplier In 2025
Prices can differ significantly from one business to another, which means there is rarely a single cheapest supplier. The best energy suppliers for your business will depend on your specific usage patterns and the timing of your consumption. Here, we provide insights into our panel of electricity suppliers—keep in mind that prices will vary based on your usage and location.
Below, you will find information on the average electricity prices per kWh for small businesses.
Cheapest 1-Year Fixed Business Electricity Prices
| Supplier | Average Price per kWh | Average Standing Charge | Annual Cost |
|---|---|---|---|
| British Gas Lite | 25.4p | 40p | £6,503.32 |
| SmartestEnergy | 25.1p | 62.3p | £6,499.03 |
| Valda Energy | 25.9p | 74.9p | £6,744.29 |
| British Gas | 25.6 | 60p | £6,621.23 |
| ScottishPower | 23.7p | 125p | £6,390.82 |
| EON | 28p | 30p | £7,120.21 |
| EDF | 27.3p | 75p | £7,086.25 |
Data correct as of January 2025. Business electricity supplier prices per kWh are based on a one-year business contract with 25,000 kWh annual usage. These prices reflect a live market and are subject to fluctuation.
Cheapest 2-Year Fixed Business Electricity Prices
| Supplier | Average Price per kWh | Average Standing Charge | Annual Cost |
|---|---|---|---|
| ScottishPower | 23.5p |
125p |
£6,336.62 |
| SmartestEnergy | 25.1p | 62.3p | £6,498.86 |
| Valda Energy | 25.9p | 75.5p | £6,757.14 |
| British Gas Lite | 26p | 42p | £6,655.62 |
| British Gas | 26.2p | 62p | £6,773.53 |
| EON | 28.1p | 30p | £7,139.86 |
| EDF | 27.5p | 75p | £7,136.25 |
Data correct as of January 2025. Business electricity supplier prices per kWh are based on a two-year business contract with 25,000 kWh annual usage. These prices reflect a live market and are subject to fluctuation.
Cheapest 3-Year Fixed Business Electricity Prices
| Supplier | Average Price per kWh | Average Standing Charge | Annual Cost |
|---|---|---|---|
| ScottishPower | 23.5p | 125p | £6,338.59 |
| SmartestEnergy | 25.2p | 62.3p | £6,528.68 |
| Valda Energy | 25.8p | 76.4p | £6,729.78 |
| British Gas Lite | 26.4p | 45p | £6,772.82 |
| British Gas | 26.6p | 65p | £6,890.73 |
| EON | 28.4p | 30p | £7,200.57 |
| EDF | 27.5p | 75p | £7,154.11 |
Data correct as of January 2025. Business electricity supplier prices per kWh are based on a three-year business contract with 25,000 kWh annual usage. These prices reflect a live market and are subject to fluctuation.
Business Electricity Tariffs
Each business is different, reflected in the energy tariff best suited to particular circumstances. Here are some of the most common tariffs according to regulator Ofgem that you may want to consider: selecting a tariff.
It's also wise to consider the type of electricity meter you have before choosing your tariff.
Fixed-rate tariffs
With a fixed-rate tariff, you agree on a unit rate that is charged per kWh of energy used. This rate is locked in for the duration of your contract. However, your monthly bills may vary since the total cost depends on your energy usage—the more energy you consume, the higher your bill.
Variable-rate tariffs
Variable-rate tariffs provide your business with more flexibility compared to fixed-rate tariffs. Your unit rate can change throughout your contract based on fluctuations in wholesale prices.
Rollover tariffs
A rollover tariff kicks in when a business has not secured a new deal with any supplier. Typically, this is a one-year contract that is legally binding and often comes with higher costs than wholesale market rates.
Economy 7 (multi-rate) tariffs
Economy 7 tariffs offer different electricity prices at various times of the day. Generally, there is a higher rate during peak hours and a lower rate during off-peak hours, typically in the evening and overnight. If your business primarily uses energy during the evening or at night, you could save by switching to a multi-rate tariff.
No standing charge tariffs
At first glance, no standing charge tariffs appear very appealing. These contracts may benefit businesses that operate seasonally or infrequently. However, suppliers often compensate for the absence of a standing charge with higher unit rates.
Renewable/ green tariffs
Green tariffs are a great way to start your journey towards becoming more renewable. Most renewable energy suppliers will match the electricity you use by purchasing from renewable sources.
Compare Live Tariffs
How Much Money Could You Save?
Customers who switch with us save £1,920 per year, on average.
However how much you save will depend on your annual usage, your current tariff and the tariff you switch to, so there’s no guarantee on how much you will save.
Business Electricity FAQs
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How Long Does It Take to Switch Business Electricity Suppliers?
We'll aim to complete your electricity switch within 5 working days.
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When Should I Switch Business Electricity Suppliers?
Most businesses will simply decide to switch suppliers as their contract comes to end. However, certain times of the year can potentially offer better deals.
Switching during the summer months can offer cheaper rates on both business gas and business electricity tariffs. Keeping an eye on the wholesale costs of gas and electricity can help you identify when the best rates may be available.
However, if you’re switching outside of your renewal window, you may face exit fees from your current supplier.
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Am I Required to Pay VAT on Business Electricity?
VAT rates of 20% will apply to your business electricity bills. However, not-for-profit organisations may be eligible for a reduction in VAT to 5%.
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Can I Switch my Business Electricity for Multiple Sites?
If your business has more than one location, it can become complicated managing multiple energy contracts.
A multi-site tariff can allow your business to consolidate your tariffs into one contract. With multiple locations, your business may be entitled to discounts due to a greater buying power. At Energy Helpline, we can help your business find a great deal across your locations.
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Can I Switch my Business Gas at the same time?
Yes, you can switch business gas at the same time with Energy Helpline. Although you will have two separate contracts for your business gas and business electricity, switching them at the same time makes it much easier to manage your business energy bills.
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How Do I Find Out Who Supplies My Business Electricity?
Your latest bill will have your electricity supplier information, if you can’t find the most recent bill, check your emails or documents for the contract between you and your supplier.
If you are new to the premises and don’t have access to these, and can’t ask the landlord or previous tenant, then use the Energy Networks Association too to first find your network operator using your postcode, and then contact the network operator to tell you who your supplier is. Network operators should have a postcode search tool to do this easily.
A more direct way to learn who your business electricity supplier is is to enter your postcode into our comparison engine. From there we will look up your meter number and let you know who your supplier is. The engine will also provide you with some business electricity price quotes free of charge to consider at your discretion.
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What If I Run My Business From Home?
If the majority of your business's electricity usage is for your business, then you may be eligible for a business tariff. Contact your electricity supplier to enquire if you are eligible for a business electricity tariff. If you signed a business electricity contract through a broker, then contact your broker.
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Is Business Electricity Cheaper Than Domestic Electricity?
Generally, business electricity rates are cheaper per kWh than domestic electricity rates. This comes about due to larger amounts of electricity that businesses use, resulting in suppliers offering them cheaper rates. Due to this lower rate, business electricity tariffs usually include a higher standing charge than domestic users, as well as other charges, such as CCL.
That doesn’t mean that businesses have a lower electricity bill. Since they tend to use more electricity than households, their bills will be higher.
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Will My Business Electricity Be Disrupted If I Switch?
Your switch will not be disrupted, as you will be paying your previous supplier until the switch happens. Also, switching electricity suppliers doesn’t involve any infrastructural changes, so you will have electricity throughout the switching process.
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Does Your Business Need a Half-Hourly Meter?
Businesses with a peak electricity usage of 100 KVA (Kilo Volt Amperes) or higher at least three times a year must install a half-hourly meter.
A half-hourly meter communicates electricity usage with your supplier every half hour, ensuring your usage is as accurate as possible - and by extension your business electricity bill will also be as accurate as possible.
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What Are Unit Rates?
Your unit rate is the cost of the electricity that your business uses. It is billed in pence per kWh and varies depending on what is agreed with your supplier in your business electricity contract.
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What Is A Daily Standing Charge?
The standing charge is included to cover the cost of network maintenance. It is billed daily, again depending on what your contract says. Some business electricity contracts may even have a standing charge of zero, but those are rare and usually compensate with a higher unit rate.
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How Much VAT Is Paid On Business Electricity?
VAT for business electricity is generally 20%, but some eligible businesses, such as charities, qualify for the same VAT rate as domestic users, i.e. 5%.
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What is the Climate Change Levy?
The Climate Change Levy (CCL) is a tax for businesses that use high energy to encourage them to be more environmentally conscious. It is set by the government every year. The charge CCL for business electricity for April 2024 is 0.775p per kWh.
Not all businesses need to pay CCL - there are exemptions, including the following:
- - Businesses where a domestic contract supplies energy
- - Charitable organisations
- - Businesses that use less than 1000 kWh of electricity in an average month
- - Businesses that have registered a Climate Change Agreement (CCA)
- - Businesses involved in specific construction, manufacturing or metal production may also be exempt.
Read more about CCL exemptions on the Gov. uk website.
- - Businesses where a domestic contract supplies energy