How much could I save by switching business energy?

Posted by Nathan Hill-Haimes on 16-Feb-2020 15:42:54

In Advice Guide, business, energy, compare, comparison, green

As a business, you are likely to be looking for ways to cut your outgoings as much as possible. Businesses often use more energy than households and therefore are subjected to different tariffs by energy suppliers. Because of this, many energy suppliers take advantage of business customers and charge them higher rates than necessary. This means that as a business, you could be paying a lot more than you need to and the amount you are paying may not be reflective of your usage at all. There are several reasons why you may be paying more than you should be.

Switching business energy - factors in saving money

It's always a good idea to regularly compare business energy. You may be on a tariff with an energy supplier that you don't need to be on. For example, if you've downscaled since taking out your energy contract then you may be using much less energy then you used to. Energy suppliers don't necessarily take these factors into account when calculating your energy bill, especially if your usage isn't metered. You may not have downscaled but instead, you could be using new machinery that is more energy-efficient or taking active steps to reduce your emissions and energy usage. As all businesses are different, it's difficult to say exactly how much you'll save by switching energy provider, but most businesses can save a substantial amount each year by switching.

If you've moved your business premises then you may have been placed on what is known as a "deemed contract". This is a basic tariff that doesn't take your usage and other factors into account and is a simple way of an energy provider to continue to provide energy to the premises. If you haven't looked into your contract since you moved then you may have been overpaying for quite some time. These deemed contracts simply charge a set amount to business customers which may not reflect how much energy they're using.

Is switching provider a complex process?

Switching your business energy supplier is very similar to switching your household energy supplier. This means that the transition can go smoothly if your case is fairly simple, or may take a little longer for businesses with more complex needs. Your energy supply won't be cut off during the transition so you can carry on business operations as normal, the switch will be arranged between energy suppliers and won't impact your supply.

Exit fees, contracts and tariffs

If you are still under contract you may be responsible for paying exit fees during the switch but you'll still save money by switching in the long run. If your contract has ended then you may have been automatically placed on a tariff that is more expensive than you need to be paying. These are known as "out of contract rates". Often energy companies offer fixed-rate contracts for a certain number of years, so if your contract is up with your existing supplier then you may benefit substantially by switching.

Will I save that much on my business energy?

Some businesses can save up to 45% per year by switching their energy supplier, so it's always worth comparing providers and using a partner to find you the best deal. Your savings will be based on many different factors so you should include as much information as possible when looking to switch.

How can we help?

At Amvia, we can help businesses smoothly transition to a new energy provider without having to jump through hoops. Because of our experience in the industry, we can find the best tariffs for business. We'll support you through the process of switching, which can feel like a mammoth task without the help of an experienced partner. Often, you'll get a better deal when working with an experienced partner that is used to negotiating the best prices with energy providers for your business.

You'll save time by using an energy switching partner

Amvia takes the stress out of switching providers and takes care of the complicated admin and searching for the best deals and providers for you. If you've ever tried to compare energy providers online then you'll realise that it can be difficult to research the best deals and come to a conclusion over which is best for you as a business. When you use us to compare energy prices for you, you'll just need to provide us with some basic information about your business and your usage and we'll do the hard work for you. If you're not sure which tariff you're on, we can look into this for you and help you save money on any future energy bills.