Business Gas Prices

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How to find the cheapest business gas prices

Small start-ups, large corporations and every type of organisation in between share fundamental challenges. With many important decisions about how they spend their money, every business owner knows that smart financial decisions are critical for business success.

Those smart financial decisions can relate to unexpected areas of running a business, like the cost of your gas bill. Your business could save £1,150 on bills if you use Utility Saving Expert to switch your gas supply to a provider that offers your business a better tariff.

You can make the most of the fluctuating energy market by using our online comparison tool to find a better deal today, saving hundreds or even thousands of pounds each year.

Find the best commercial gas deals in minutes with Utility Saving Expert. Complete your switch online or give one of our energy experts a call on 01242 32 31 31.

Why you should switch business gas

Running a successful business isn’t easy. It can be challenging, but rewarding, and very busy. Every business needs to prioritise tasks carefully and spend both time and money wisely.

Day to day, you might find yourself managing teams, spinning plates and balancing books, which doesn’t leave much spare time to think about your business gas renewal. However, comparing and switching gas deal isn’t the time-consuming task you might think.

Using our free comparison tool, you can access the most competitive deals instantly. There’s no obligation to switch, but you could avoid over-spending by hundreds or thousands of pounds if you do.

To top it off, the entire process will be managed for you, saving your business both time and money.

    Wondering whether to switch commercial gas supply? In addition to potential financial benefits, here are some other questions to consider:
  • Does your current supplier deliver the service you expect?
  • Does your gas supply reflect your business values?
  • Are you happy with your customer service experience?

Our results show competitive tariffs, including renewable options, from trusted suppliers who deliver a high level of customer service and support. In the unlikely event that issues arise, you’ll want a reliable supplier to resolve them quickly and professionally without any interruption to business operations.

Compare with business gas prices Utility Saving Expert

The UK’s leading socially-conscious comparison site, Utility Saving Expert compares trusted energy providers and tailors results to suit your needs. We’ll guide you through the entire comparison and switching process to ensure you find the best possible gas deals for your business.

You’re guaranteed to find the best prices using our comparison tool, and it’s at no cost to you whatsoever. When you switch to a cheaper deal, you’ll keep all of your savings and you can invest your extra cash back into your business.

Business gas quotes tailored to your needs

Our comparison tool allows you to compare gas suppliers with minimal effort. All you need to do is provide some details about your location and energy usage. We’ll do the rest, sharing a comprehensive list of business gas deals that provide the best value for your business.

Secure the best deal within minutes

It takes seconds for our systems to generate bespoke results based on your business needs, and the entire comparison and switching process can be completed within a matter of minutes. When we say you’ll get the best deal, we mean it. We guarantee to beat your renewal quote, or we’ll give you £1,000!

Sit back whilst we take care of the switch

You don’t need to add a pile of paperwork to your desk in order to switch business gas contract. We’ll manage the arrangements for you, getting in touch with your new supplier to handle logistics with your old supplier. All you’ll need to provide is a final meter reading and start thinking about what your business can do with its savings.

What information you’ll need to switch business gas

If you are thinking about comparing business gas prices or switching supplier but don’t know where to start, Utility Saving Expert will make the process quick and simple. To compare and switch, you’ll need the following details:

  • Business postcode
  • Current gas consumption
  • Date your contract is due to end
  • Existing gas supplier’s name
  • Meter number

These details can be found on your most recent business gas bill. Once you’ve entered this information, we’ll display a range of quotes for you to select from. Use the filtering tools to sort through the results quickly and easily in order to find the right commercial gas supplier and tariff for your business.

Steps to switch business gas supply

Input details

Enter your postcode and input some details about your business and its usual gas consumption, ideally referring to an energy bill for exact data. This will allow us to tailor results to suit your needs and show an accurate comparison, giving you access to the most competitive tariffs available.

Compare tariffs

Use our comparison tool to browse through the results we generate based on your requirements, or search and filter using additional criteria. We’ll show accurate estimates of how much you could save, making it easy to compare contracts and suppliers and energy sources.

Switch and save

Once you’ve found the deal you want to choose, confirm you’d like to make the switch and add some essential information like billing details. We’ll manage the process from there and make contact with your new supplier. The only thing you’ll need to do is take a final meter reading and make sure any current or previously outstanding bills have been paid for.

What happens next

When you switch business gas supplier through Utility Saving Expert, we’ll get in touch with your new gas supplier, and they will inform you of the date the switch is due to take place.

You will be provided with useful information about payment methods and important dates to add to your calendar. If there are any issues, let your provider know as soon as possible.

Make sure you’re happy with all the terms and conditions of the contract, because as a business gas customer, you are not likely to be given a cooling-off period.

In most cases, you won’t need to replace your gas meter and there won’t be any changes to the way you receive your gas, it will still be distributed to your business through the same pipes.

Finally, your previous supplier will request a final meter reading on the day the switch is due to take place. This enables them to send you your final invoice, so you’ll know exactly when you finished as a customer of your previous supplier and started with your new supplier.

Business gas prices explained

The price of gas fluctuates dramatically. Wholesale market prices can be impacted at any time by anything from politics to the weather, and influential factors include:

  • Currency rates from around the world
  • Government initiatives and levies
  • Regulator fees and charges
  • Supply and demand

With so many external influences that are out of any business’ control, lots of organisations choose fixed-term tariffs to protect them from potential price hikes if the global cost of gas rises.

Fixed-rate gas tariffs for businesses are available between 12 to 36 months, and generally, the longer you fix the tariff for, the more it will cost.

Just like with your household energy, what you pay for business gas is also connected to how much energy you use and where you are located. However, the way business gas is calculated varies from domestic gas because more factors are involved.

The size of your business, the size of your premises and your company’s specific requirements all have an impact on what you pay. The following information will have an effect on what you pay for business gas:

  • Average gas consumption (kWh)
  • How much you usually pay
  • Meter type
  • Size of premises
  • Location
  • Supplier
  • Standing charge
  • Tariff type

Business size matters for gas deals

Some energy companies only supply businesses of certain sizes, and others will offer different rates to differently sized businesses.

Business gas can be cheaper than domestic gas, but this depends on the size of the business and how much gas you use. Larger corporations can often benefit from suppliers offering them better deals if the suppliers expect to distribute large amounts of gas to them, and organisations using a multi-site service will usually get discounts.

    The way that suppliers categorise companies usually depends on their size, turnover and gas usage. Although every supplier will work slightly differently, the usual categories are:
  • Micro-businesses
  • Small businesses
  • Large businesses
  • Multi-site customers

Micro-businesses use less than 293,000 kWh of gas per year, have fewer than 10 employees, and their annual turnover doesn’t exceed £1.8m (€2m).

Small businesses generally have a low gas usage, employ more than 10 staff but have a lower annual turnover than bigger organisations.

Large businesses spend more than £100,000 on business energy each year. High gas usage might be related to the type of business or industry, like a restaurant or catering business that uses lots of gas for cooking, or it can be due to heating large premises.

Switching tip: Multi-site customers have premises across multiple locations. They will often benefit from supplier’s offering them discounts because they use a large amount of gas across these locations.

Compare and switch energy supplier

See how much you could save in 60 seconds!


How much VAT you’ll pay

Despite the discounts, most business customers also pay more VAT than domestic customers. In the UK, that’s usually the standard VAT rate at 20% for their commercial gas supply.

There are exceptions if your gas consumption is less than 4,397 kWh per month, or if you’re operating a charity or not-for-profit organisation. In these instances, you may be eligible for a 15% VAT reduction.

Check your eligibility to see if your business is entitled to extra savings

Business gas tariffs

Just like domestic gas tariffs, there are a range of commercial gas tariffs that businesses can choose from, depending on their needs. These include:

Fixed-rate tariffs

The most popular choice, fixed-rate tariffs guarantee that your business will pay the same price for each unit of gas you use throughout your contract. This means you won’t need to pay more if the global price of gas increases.

Usually, contracts run for one or two years, and up to five years. You won’t be able to switch until your contract ends. Whilst being locked into a contract might feel like a negative, fixing your rates for a number of years gives you more control of business outgoings.

Ideal for many small to medium sized businesses, particularly if you would prefer to secure a gas deal that protects your business against energy market fluctuations.

Eco-friendly tariffs

On eco-friendly tariffs, your business gas supply will be generated from renewable sources, making it Ideal for businesses trying to improve their environmental credentials and balance their carbon footprint.

Currently, renewable gas hasn’t developed as much as green business electricity. As a consequence, green gas isn’t an option that all businesses can access yet, but it’s a good idea to compare eco-friendly tariffs so you can be ready to switch to greener energy when possible.

Flexible or default tariffs

The price you pay for gas could change month to month on a flexible or default tariff. Typically, these are more expensive than fixed-rate tariffs. What you pay will reflect changes in the energy industry. If you choose to switch deal, you’ll need to give notice to your supplier, but this is usually only about 30 days.

Some contracts allow you to pay for the gas you need up front, meaning you can take advantage of market fluctuations by buying gas at lower rates. However, there are no guarantees, and you may lose out if prices drop after you buy, or if you have no choice but to buy gas when prices are high.

Larger businesses that monitor gas trends will often benefit from the extra flexibility this type of tariff will offer, because it allows them to have more control of their purchasing decisions.

Pass-through contracts

Giving protection against price rises without removing the opportunity to take advantage of reductions in third-party costs, pass-through contracts are designed to offer businesses a little more breathing space. Contracts usually last one or two years, but these can be extended up to five years.

As you’ll pay the true price of gas for the energy your business uses, this tariff is ideal for businesses who are willing to accept some risk.

What you pay for

    Gas tariffs include unit rates and your standing charge:
  • Day unit rate (kWh)
  • Night unit rate (kWh)
  • Standing charge

The unit rate is what you pay for each unit of gas your business uses, and these are measured in kilowatt hours (kWh). The standing charge is the daily fee you pay your energy provider for their services, including customer service, support and maintenance.

    Your quote will also show:
  • The type of contract
  • Estimated annual bill
  • Estimated monthly bill

Choosing a tariff without a standing charge

It’s possible to reduce your bills by choosing a tariff without a standing charge. Some suppliers will offer fixed-rate tariffs without standing charges, which means that you won’t be charged a service fee for the supply of gas to your business.

These tariffs may charge a higher unit price of energy, but it can be useful for businesses that have low gas consumption, or run seasonally or close during weekends, because you won’t have to pay anything if you don’t any gas.

Improve the accuracy of your bills

To receive the most accurate and reliable bills, you can:

    Your quote will also show:
  • Submit meter readings more regularly to your supplier (eg, monthly)
  • Install an automated meter read (AMR) device to pay for exactly what you use
  • Install a smart meter to better manage and refine your energy usage

Not only do accurate bills improve your clarity about how and when you use the most gas, you’ll also have more control. You can adapt how your business uses energy, being more informed about how to increase energy efficiency, and you can become more savvy with your spending.

Smart meters for commercial gas

Installing a smart meter at your business premises allows you to send automated meter readings to your supplier, improving the accuracy of your gas bill.

Smart meters remove the need for estimated billing because they calculate exactly how much energy you’re using. They are precise, measuring the cost of each hour that you’re using energy, as well as the cost over time, and you’ll only pay for the energy you use.

Useful for businesses that want to stick to a budget or reduce their energy consumption, commercial smart meters can be installed for free, making them an extremely cost-effective solution.

Understanding Independent Gas Transporters (IGTs)

Around one million properties in the UK use smaller gas networks linked to larger networks. This is when your gas is transported through Independent Gas Transporters (IGTs) instead of the National Grid.

You can still compare business gas suppliers and switch with IGTs, but the switching process may take slightly longer to complete and standing charges will usually be more expensive.

Your quotes may not include additional IGT charges, so be aware that you will have to pay these on top of the tariff you select. Even if larger gas suppliers include these within their standing charges, it’s important to check the terms and conditions before you agree to a new contract.

Choosing your contract length

Most business gas contracts run between 12 and 48 months, but contracts can last anywhere between 3 months and 5 years. When you’re deciding on the length of your contract, weigh up the positives and negatives of longer or shorter contracts. You should consider:

  • The degree of flexibility or financial stability your business needs
  • How soon you’ll probably want to switch tariff or supplier
  • Whether your business is likely to grow or change size
  • The chances you’ll need to relocate or occupy more premises

With most fixed-term contracts, you can’t switch supplier until your contract ends without being charged an exit fee. However, you can still compare business gas deals regularly to stay switched on to the market so that you’ll get the best value for money when it’s time to switch.

Compare and switch energy supplier

See how much you could save in 60 seconds!


Weighing up exit fees

If you’re thinking of moving away from a fixed-rate business gas tariff before your contract has ended, check if you will be charged an exit fee. Make an informed decision about what you’re likely to save by switching, weighed up against possible penalties.

However, the rules change slightly if you want to cancel your contract because you are moving premises. You won’t be charged an exit fee if you’re moving, because contracts are attached to locations instead of businesses.

Contact your supplier to inform them and provide them with an indication of when you’ll be moving. Make sure you find a good business gas deal for your new location to avoid being placed on an expensive default tariff and being over-charged.

Read through the latest business gas prices from a number of suppliers that are compared by Utility Saving Expert. Browse through the results or sort by price per kWh or daily standing charge.

Business Gas Prices (per kWh)

Supplier Price Per kWh
(in pence)
Standing Charge
(Pence/Day)
Bulb 3.25p 27.40p
British Gas 5.76p 139.55p
EON 7.14p 117.00p
Opus Energy 6.99p 150.00p
SSE 5.95p 80.00p
Scottish Power 6.50p 30.00p
nPower 6.36p 123.30p
Yu Energy 6.96p 76.34p
EDF Energy 5.30p 100.00p

Prices correct as of 02/01/2020 and based on consumption of less than 73,200kWh per year

Compare and switch commercial gas supplier now

With our help, switching gas supply takes minimal effort on your part. Simply enter a few details about your energy consumption and we’ll share the best commercial gas quotes that meet your requirements.

Select the option that’s most suitable and confirm you’d like to switch. Together with your new business gas provider, we will manage the whole switching process for you.

The gas will be delivered through the same pipes that you’re currently using. We know how important it is for your business to stay running smoothly, and you can be confident that your current supply won’t be affected during the switch.

Business Gas FAQs

On average, businesses will save £1,150 if they compare and switch commercial gas deal using Utility Saving Expert’s comparison tool.

Your gas supply will continue as normal throughout the switching process. Although your gas supplier will change, the gas supply remains the same and your business won’t experience any downtime.

Commercial gas prices can be affected by the global energy market, supply and demand, currency values, regulator fees and government levies, and even the weather.

The price of gas might appear cheaper for households than businesses, but this is because domestic customers pay less VAT. However, businesses might be offered bespoke deals from suppliers because of the sheer volume of gas they will need supplied.

Most businesses will be charged VAT at a rate of 20%, but some will be able to pay a reduced rate of 5% if they are a charity or use less than 145 kWh of gas per day.

Some tariffs come without standing charges. Often the cost per unit will be higher without a standing charge, but it might be the cheapest option for businesses that don’t have a consistent pattern of gas usage, like businesses that run seasonally.

Usually, there is no need to change your gas meter when you change supplier, unless you choose to install a smart meter for the first time.

Green gas is sourced from environmentally sustainable sources. These include plants or animal waste. As it is still in its infancy, whether will be available will depend on the location of your business.