Business electricity comparison
Your business relies on its electricity supply, so it's important to choose a supplier which provides a reliable service at a reasonable rate.
Why switch business electricity with Uswitch for Business?
Switching to a better business energy deal isn’t quite as straightforward as arranging a new household energy tariff.
This is because commercial energy contracts are set up differently from domestic ones. For instance, rates and contract lengths will be different, there is no dual fuel option, and you won't be given a cooling-off period with a business energy contract. But you can lock in rates for longer and deals are tailored to meet your exact needs. It's all about working out what best suits your business.
There are also different rules in place for businesses of different sizes.
Suppose you run a larger company or your business has a high energy demand. In that case, you might have a half-hour meter installed or have multiple meters installed for more accurate readings. If you run a micro business, you can cancel your agreement and switch to a new one without having to wait for your current deal to end.
That's why it's important to get some expert help before you sign your next energy contract.
How business electricity rates work
Business electricity rates work the same way as domestic energy rates, with costs split into unit rates and standing charges. The only difference is that it's less easy to switch your business energy deal compared to a home energy deal.
What are business electricity unit rates?
The unit rate is the cost of each kilowatt-hour of energy you actually use. The standing charge is the amount you pay every day regardless of how much energy you use, which goes towards paying for infrastructure maintenance and improvement and admin costs.
Business electricity prices per kWh January 2026
When comparing business electricity prices, it's a good idea to try and find out how much energy businesses similar to yours are using and how much they're paying for it.
The trouble is that businesses are charged different rates depending on their size, location, and a number of other factors. This makes it difficult to do an accurate comparison. And then there's the current market instability which is making cheap energy rates hard to find.
But to give you an idea of how much energy your business should be using and how much it should be paying for it, here are the latest unit rates and standing charges for businesses of all sizes.
| Business size | Average annual electricity usage | Price per kWh | Daily standing charge | Average annual cost |
|---|---|---|---|---|
| Microbusiness | 5,000-15,000 kWh | 25.8p | 58.5p | £2,794 (based on annual usage of 10,000 kWh) |
| Small business | 15,000-25,000 kWh | 26p | 70p | £5,456 (based on annual usage of 20,000 kWh) |
| Medium business | 25,000-55,000 kWh | 26.3p | 142.4p | £11,040 (based on annual usage of 40,000 kWh) |
| Large business | 55,000+ kWh | 25p | 261.9p | £14,706 (based on annual usage of 55,000 kWh) |
Note: Prices are correct as of January 2026. Rates and bill size may vary according to your meter type and business location. The prices you’re quoted may be different from the averages shown. The figures shown are the average unit rates and standing charges quoted by Bionic per business size from 1 January to 7 January 2026.
Business electricity standing charges
Daily standing charges must also be paid by businesses with a working electricity supply. The larger the business, the higher the standing charge tends to be, as illustrated by the table above.
What affects commercial electricity rates?
The amount that businesses can expect to pay for their electricity depends on factors including:
- Their size - the bigger the business, the more electricity it will use (and vice versa)
- Contract length - a longer contract will often charge less per unit of electricity used
- The type of meter you have - a single-rate meter will charge you the same amount for all the energy you use. If you tend to use more energy at night, a multi-rate meter might be better because it charges you less to use energy at night rather than during the day. For the most accurate billing, a half-hourly meter is the best option because it sends readings every 30 minutes.
- Location - local infrastructure and distribution networks are different throughout the UK and can affect the ease of transporting energy to business premises, which has knock-on costs to customers.
Can I get special small business electricity rates?
As with gas rates, small business electricity rates will depend on a variety of factors. To be classed as an SME, you must first prove that you have fewer than 250 employees.
Once this has been confirmed, you will then need to provide details, including your location and how much energy you have used annually in previous years. Once the energy supplier has this information, it can then provide a much more accurate quote.
Commercial vs. domestic electricity - what's the difference?
Commercial electricity differs from domestic electricity in a few ways.
- No price cap - the energy price cap that applies to domestic households doesn't apply to businesses, so prices can fluctuate significantly for those not on a fixed contract
- No cooling-off period - once a business is locked in, there's no 14-day cooling-off period, so it's important to be sure that the contract you're signing up to is the right one for your needs
- Contract length - businesses will often commit to contracts of 2-5 years, while a domestic contract is usually 12 months
- Higher taxes - domestic customers are charged VAT on energy bills at 5%, while businesses are charged 20%.
How to compare business electricity prices online
The terms of commercial electricity contracts mean businesses are only allowed to sign a new deal once these contracts are within their ‘renewal window’, which is usually within six months of the current contract's end date.
Once your energy deal enters this renewal window, your current supplier should send you a renewal offer. These terms are rarely the most competitive, so it makes sense to run a comparison to see if there are better rates on offer.
But instead of going through the hassle of ringing around for dozens of quotes, let us find your next business electricity deal and take care of the switch for you. Call us today on 0800 188 4930 to speak with one of our team.
This is how the process works:
We find your details
Just enter your business address and we'll use industry data to accurately find and understand your energy usage.
We talk through your quotes
One of our UK-based experts will search our supplier panel and give you a call to talk you through the results on screen.
You choose the deal you want
With all the information to hand, you choose the deal that best suits your business and we'll handle the switch for you.
Our expert knowledge of the commercial energy market means we can advise you on which tariff best suits the needs of your business, and even assist in the switching process by providing all of the information and documents you need.
There'll be no digging or drilling at your premises and no disruption to your supply unless you need a new electricity meter installed.
To find out more about how we can help make the switching process even easier for your business, call us today on 0800 188 4930.
What types of business electricity contract are there?
Business energy tariffs are designed to fit the needs and budget of each individual business. When you compare rates, suppliers only offer bespoke quotes based on an assessment of your business and its energy consumption.
But it never does any harm to do a little background research before you get in touch. To help you understand how your business energy tariff stacks up against other deals out there, here are the most common contracts offered to small and medium-sized businesses:
Fixed tariff
A fixed business electricity tariff allows you to pre-agree unit rates with your supplier and pay these rates throughout the duration of the contract. These rates are usually competitive, but you should always run a business electricity comparison before agreeing to any deal. This is the only way to make sure you can’t get better rates elsewhere.
Out-of-contract rates
If you let a fixed deal expire without arranging a new one, your supplier will place you on its out-of-contract rates. These are often more expensive than the rates you're offered on a fixed tariff, but you can switch at any time by giving just 28 days’ notice.
Deemed rate tariff
Deemed rates are similar to out-of-contract rates, but are used by suppliers when a business moves into new premises without signing a new contract. These are more expensive than fixed rates, but you can switch by giving 28 days’ notice.
Rolling contract
A rolling contract ties you into a new, year-long contract at higher rates. You can sometimes negotiate a new contract on blend and extend terms, which allows you to agree to lower rates by signing up for a new long-term contract with your current supplier. These new rates are usually not as competitive as others you could find elsewhere on the market. Rolling contracts aren’t as common as they used to be, but you should always check the terms of any contract you sign and keep an eye on its end date.
Who should compare business electricity rates?
Businesses which aren't on a fixed energy contract (or are coming to the end of the one they're currently on) should compare business electricity rates using a broker like Uswitch for Business.
Why comparing business electricity rates can reduce costs
This is the quickest way to save money on your business energy. If you've been on the same tariff for a while, it's probably not the best deal anymore, and you can probably save by switching to a new deal. A new deal might offer more accurate meter readings (for example, on a half-hourly or multi-rate meter), so it's worth using a broker like Uswitch for Business to see what's out there and how you might be able to save on your energy costs.
Which business electricity suppliers do we work with?
We work with a range of business electricity suppliers, including:
- British Gas
- Crown
- Haven Power
- Octopus Energy
- Opus Energy
- Scottish and Southern Energy (SSE)
- Smartest Energy
- Valda Energy.
Compare UK business energy suppliers with Uswitchforbusiness
Compare prices from trusted UK business energy suppliers and get your next business energy deal in minutes.
By clicking ‘Compare business tariffs', you agree for us to search your current energy supplier and usage through industry-held data.
Our services are provided at no cost to you. We may receive a commission from the companies we refer to you, but this does not affect what you will pay for the product you choose.
FAQs
Can I switch business electricity suppliers before my contract ends?
You can switch business electricity supplier before your contract ends, but you'll probably have to pay an expensive exit fee (unless you're within the final 49 days of your contract).
How often should I compare business energy prices?
You can ask a broker to compare business energy prices as often as you like, but remember that, unless you're prepared to pay exit fees to leave your current contract early, it's probably not worth doing so until you get to wards the end of your fixed term.
Are business electricity rates fixed or variable?
Business electricity rates can be fixed or variable. Most businesses will want to be on fixed rate deals, because there is no cap on variable rates, meaning they can often be prohibitively expensive. Fixed rates provide price certainty for the duration of a contract.
What happens if I don’t choose a new business electricity contract?
If you don't choose a new business electricity contract, you'll be rolled on to a deemed rate tariff. These tariffs usually have much higher rates than fixed deals, so it's important to make sure you find a new fixed deal to ensure you're not paying over the odds.
How long does it take to switch suppliers?
It should take no more than five working days for a switch to be completed.
