Compare business gas prices and suppliers

Yes, you can still compare business gas suppliers and switch if your gas comes via an IGT rather than the National Grid. Switching might just take slightly longer.

Because IGTs are few and far between, standing charges are usually more expensive – which means your overall tariff may cost more. If your supply comes via an IGT the quotes you receive won’t include any extra IGT charges – you’ll need to add these on top of the tariff price you see.

Some of the larger gas suppliers will absorb those additional standing charges, but it’s worth checking before you sign on the dotted line.

If you run a small business and your annual gas consumption is no more than 732 MWh per year, you may be eligible for the government’s smart meter rollout.

A smart meter is a great way to monitor your company’s gas usage and could even help you lower your gas bill.

Readings are taken automatically and sent directly to your supplier via a mobile signal, so you’ll get more accurate bills and will only be charged for the energy you use.

Read your terms and conditions so you know what will happen if you end your contract early.

In most cases, you can only switch once your contract ends or if you’re in the agreed renewal period before the contract ends. Your supplier should contact you 60-120 days before your contract’s due to end, so you can see your options and start to shop around.

Some suppliers might let you terminate your contract early but will charge you a penalty, and any savings you might make by switching could be outweighed by a heavy termination fee.

If you move business premises and don’t agree a new tariff or continue to use gas after your existing contract ends, you may be put on a ‘deemed’ contract.

Deemed rates are typically much higher than a standard tariff, so you should look to switch as soon as possible to avoid paying more for your gas than you should.

According to energy regulator Ofgem, around 24% of microbusinesses are on deemed contracts and pay around twice as much per unit of gas than microbusinesses on agreed contracts.

The good news is that if you find yourself on deemed rates, you have the right to switch at any time for any reason without giving notice or paying a termination fee.

You qualify as a microbusiness if you use less than 293,000 kWh of gas a year or you have fewer than 10 employees (or their full-time equivalent) and your annual turnover is less than €2 million.

If you work from home, you won’t be eligible for a business energy tariff unless more than 50% of your energy use is for your business. If you don’t qualify, you’ll be on a domestic tariff.

However, even if you qualify, you might find a domestic tariff better value for money, especially if you don’t have high energy use.

Shop around and compare so you can weigh up your options.

Because businesses typically use more gas than domestic households, the actual rates for commercial gas can often be cheaper.

But VAT is more: 20% for most businesses compared to 5% for domestic customers.

Most businesses also have to pay a Climate Change Levy, an environmental tax which is 0.672 p/kWh for gas since 1 April 2023.

You can find out who supplies your gas and details of your energy tariff on a recent energy bill. 

If you don’t have a bill available or you’ve just moved business premises, you can find out who your gas supplier is by using the Meter Point Administration’s online search tool Find my supplier or by phoning 0870 608 1524 (calls cost 7p per minute on top of your standard rate).

They will also give you your gas Meter Point Reference Number (MPRN). This tells your supplier where your gas meter is located.

Green gas is sourced from environmentally sustainable sources – such as plants or animal waste.

Unlike green electricity, environmentally friendly gas is still in its infancy and isn’t always an option depending on where your business is located (which is why we’ll ask you for your postcode).

It's also worth noting that, when you calculate what's involved in the overall process of creating the energy, some experts disagree on how ‘green’ the green energy actually is.

You may want to do your own research on how environmentally friendly the different suppliers are.

If using green gas isn’t a practical option, you could choose a supplier that gets involved in environmental projects or gives money to support them.

You should talk to your supplier. Under Ofgem rules, they must offer you an affordable payment plan.

If you need more help and advice about paying your energy bills contact the Citizens Advice consumer helpline. They can offer advice about your business’s energy contract and help you understand your rights.