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A Complete Guide To Cheaper Business Gas

Every business must monitor its outgoings closely to ensure money is not wasted unnecessarily. If your business has been signed up to the same gas supplier for a while, you may find that you are paying more than you need for your energy. However, switching business gas suppliers is not as simple as switching domestic suppliers, and there are no dual fuel deals available.

Fortunately, it is possible to compare suppliers to find the best deal for your business gas. If you are looking to save money on your energy, this helpful guide will tell you everything you need to know about comparing deals and switching gas suppliers.

What are the benefits of switching to a new business gas supplier?

If you are looking to reduce the cost of your business gas, there are numerous suppliers from which to choose. Unlike domestic gas suppliers, there are no ready-made tariffs. Instead, suppliers will provide a specific tariff to your business based on factors such as your location, the size of your premises and your estimated usage. These gas charges mean no two companies will be placed on the same tariff, as the supplier will base their rates on your circumstances.

In many cases, it is possible to arrange a fixed rate gas tariff, with prices set for between one and five years. A fixed tariff is excellent if your business is looking to predict the costs of its bills and avoid market fluctuations. In contrast, most domestic gas supplies are only fixed for 12 months. A fixed tariff means your business could negotiate an excellent rate for its gas supply today and protect itself from potential price rises for up to 5 years.

In some situations, businesses may need to have multiple meters installed, which are designed to monitor the usage across all business sites. For example, if your business is located across several premises or within a sizeable industrial-sized area. To find out more about multi-site metering options, please get in touch with our gas experts.

Which business gas tariffs are available to my company?

The majority of business gas suppliers offer both fixed and variable rate tariffs. There is no single tariff that is the best choice. Instead, you will need to consider which is the best for your specific requirements.

A fixed-rate deal is ideal for businesses looking for help with budgeting, as the unit rate will be fixed for the duration of the contract. A fixed-rate means the price for each kWh of energy will remain the same, although your total bill will depend on the amount of gas your business uses.

In contrast, a variable rate contract offers unit rates that fluctuate according to the market. If wholesale prices for your gas supply decrease, your bills will decrease. However, if prices rise, your bills will increase. If your businesses finances can cope with the potential price increase, you may find variable-rate contracts offer cheaper rates. Most fixed-rate tariffs are offered for a set period, with switching only available once your business enters the renewal window. However, variable-rate tariffs are more flexible, and most will allow your business to change with just 30-days' notice.

Do I need to pay VAT on my business gas?

The majority of businesses are charged VAT at a rate of 20% on their gas bills. Although, not for profit businesses and charities may be eligible for a discounted VAT rate.

Alternatively, if your business has a usage below 4,397kWh each month, you may only be charged 5% VAT. If you think you may be eligible for a VAT reduction, you will need to complete a VAT declaration form and submit it to your supplier.

How do I switch to a new gas supplier for my business?

If you are looking to switch to a cheaper deal for your business gas, the first step is to compare the available tariffs. Comparing is the only way to be sure your business is signed up to the most competitive deal. 

Instead of spending hours scouring the market for individual quotes, it is possible to use our specialist energy comparison service. We have partnered with a panel of trusted gas suppliers, so you can quickly compare the options available to your business. Call our energy team or enter your details into our website form, and we will find the best gas quotes for your business. To speed up the process and improve the accuracy of quotes, it can help to have the following information to hand: 

1) The name of the gas supplier you are currently signed up to 

2) The name of your current tariff and the date it is due to end 

3) The type of supply you receive 

4) The average amount of gas your business uses

Once we have these details, we can provide you with a range of potential quotes, so you can start saving as soon as possible.

If you decide to proceed with one of the quotes, the whole switch should be complete within just six weeks. Although, this will depend on the time left on your current contract. In some cases, your switch may not be accepted by the new supplier. For example, your business has a poor credit score or a history of not paying gas bills on time. If you think there may be an issue, please get in touch with our team, and we will work hard to find the best option for you. 

The new gas supplier will manage the whole switch, and there will be no interruption to your supply. The gas supply from your new supplier will be delivered through the same network of pipes, so there is no disruption caused. All you need to do is provide a final meter reading on the day of the switch and pay the bill you receive from your current supplier. To find out more about switching to a more competitive business gas deal or starting your commercial gas comparison, don't hesitate to contact our experienced energy team today.

Average Business Gas Usage & Rates

For gas rates, your energy supplier will put your company into a category determined by the size of your business. You'll then pay monthly instalments that cover your estimated use. You can choose between being placed on a fixed or variable rate tariff. Take a look at how much gas your business should be using and how much you should be paying in standing charges and unit costs:

Micro Business: 

Average Annual Usage 5-15,000 kWh

Average price per kWh 4.1-4.5p

Standing charge 23.0-26.0p

Average annual price £300-£700

Small Business:

Average Annual Usage 15-30,000 kWh

Average price per kWh 3.8-4.0p

Standing charge 21.0-22.0p

Average annual price £800-£1400

Medium Business:

Average Annual Usage 30-65,000 kWh

Average price per kWh 3.5-3.7p

Standing charge 18.0-20.0p

Average annual price £1500-£2000

There are many variables when choosing the best business energy provider for your business, so the best thing to do is use Amvia's comparison tool and let our experts handle the switching process for you. Using a comparison service will save you time, money and a fair amount of hassle!

Speak To A Business Gas Expert Now

With More Than 50 Providers To Choose From Finding Affordable Business Gas Was Never Easier

WHOLE OF MARKET COMPARISON: You won't just compare the big 6 energy providers. We'll compare every gas provider available to you at your business location.

IMPARTIAL FREE EXPERT HELP: One of our business gas experts will do all the hard work for you. We'll check your current charges and compare these with the best business gas deals on the market today.

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