Compare business gas prices and suppliers
Compare business gas prices from a wide range of UK suppliers
Our trusted partner Bionic can help you find the right energy deal for your business.
Or call the experts at Bionic on:0800 975 0781
We compare business gas prices across many well-known business energy suppliers.
Should I be worried about the rise in business gas rates?
There has been a recent rise in wholesale energy prices, which has had a knock-on impact on the commercial gas prices that energy suppliers can provide to their customers.
Other things that affect the cost of business gas include supply and demand, currency prices, and of course, regulatory fees and government levies.
Most businesses opt for fixed rate tariffs, which protect from potential price rises if energy costs variable rates increase during a fixed rate period.
When you request a quote, we can talk you through the available tariffs and suppliers and help you to find the most suitable deal for your business.
Should I change business gas suppliers?
There are three main reasons people might switch business gas suppliers.
- Save money
Most of us know that switching gas supplier at home is a great opportunity to save. Switching your business gas supplier is just the same – the right tariff could save your business hundreds of pounds.
- Get better service
Does the deal you’ve currently got give you the service you want? If you’ve ever needed customer support, were you happy with the experience?
- Reflect your business ethos
Would switching to a green energy provider be more in line with your company’s values?
We work with our trusted partner Bionic to help you find great energy deals. Bionic's experts work with leading energy suppliers to find the right deal for you, whether you're a barbershop or a bakery.
How to switch your commercial gas supplier
Find out how our business energy experts can help you switch your gas supply quickly and easily.
Simply enter a few details about your business and tell us when you're free to chat
Our UK-based experts will talk you through the available deals on a short call
We'll take care of the switch and help make it seamless for you
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Business gas is not a qualifying product, but compare prices now and find the right deal for you.
How does switching business gas work?
Much like switching your home supply, it takes very little effort. Comparing business gas is quick and easy.
Just follow the steps below:
- Enter the postcode of your business. Using smart digital data, we can then access everything we need to give you a quote.
- Experts from our business energy provider, Bionic, will analyse the market to help you find the energy tariff to suit your needs and give you a brief call to discuss it.
- If you choose to switch energy providers, you can rely on Bionic to look after everything for you, including future renewals.
- You’ll need to pay off any outstanding gas bills or, if you’re in credit, arrange for it to be paid back to you. And don’t forget to take a final meter reading.
- Your new supplier will send details of when the changeover will take place, as well as provide other information such as agreed payment method and dates. It’s your responsibility to check that the details are correct.
Just remember, you can’t switch to a new business gas deal until your current one expires. And you can’t sign up with a new business energy supplier until your switching window opens – usually between one and six months before your contract end date.
Don’t worry if you don’t know when your switching window begins. When you switch with us, we keep on top of this and compare the right business energy deals on your behalf, so you can get on with running your business.
What are the different business gas tariff options?
When it comes to choosing a tariff for your business gas, there are two main types to consider:
Fixed rate tariff
With a fixed rate tariff, you’ll pay a guaranteed unit price per kWh for the duration of your contract, which can typically last from one to four years. This is the most popular type of tariff because you know exactly what unit price you’ll be paying for each month, and these types of tariffs are usually more competitive.
However, you might be locked in for a long time and won’t be able to switch suppliers until you’re in the renewal window – usually six months before the end of your contract.
Flexible rate tariff
You pay for your gas up-front in bulk. This can be a good tariff for larger companies as they can benefit from lower rates when their gas usage is high.
Most flexible rate tariffs work on a 30-day rolling plan, which means you can switch suppliers with just 30 days’ notice. This type of tariff could work well if you’re on a short-term lease – for example, if you run a pop-up restaurant.
However, unit prices can go up and down depending on the market, and flexible rate tariffs can often be more expensive than fixed rate tariffs.
Other business gas tariffs include:
- Variable rate – the rates you pay will rise or fall in line with wholesale prices and market conditions.
- Extended – some suppliers offer a competitive rate to extend your contract once it has expired.
- Pass through – a fixed wholesale rate means you’re protected against volatile market prices, but other costs can vary.
- Deemed rate – when your contract is up or you move premises, you’ll be put on this standard rate, which is typically more expensive. However, you can switch whenever you like without penalty.
How is the cost of my business gas calculated?
There are two main factors to consider when working out the cheapest business gas for you:
- Unit price – this is the price you pay for each unit of gas your business uses in kWh – so if you’re on a fixed rate tariff, the business gas price per kWh will stay the same for the length of your contract. If you’re on a variable rate tariff, it could go up or down depending on the wholesale market price.
- Standing charge – this is the daily fee you pay your supplier for managing your service and delivering gas to your premises.
The price you’ll pay for your business gas can also depend on:
- The size of your business
- The type of business you run
- The credit rating of your business.
The latest gas prices per kWh can give you a rough idea of how much you’ll pay for your commercial gas depending on the size of your business:
|Business size||Average annual usage in kWh||Gas unit price per kWh||Daily standing charge||Average annual cost|
|Micro business||5,000 to 15,000||10.3p||55p||£1,230|
|Small business||15,000 to 30,000||10p||55p||£2,450|
|Medium business||30,000 to 65,000||9.9p||59p||£4,918|
|Large business||More than 65,000||9.4p||£1.10||£7,012|
 The figures shown are the average unit rates and standing charges quoted by Bionic per business size from 3 April to 7 April 2023. Rates do not include any Energy Bills Discount Scheme discount. Prices may vary according to your business type and location. Current market volatility may also mean that the prices you’re quoted may differ from those above.
Business gas VAT rates
Most businesses will pay the standard rate of 20% VAT for their gas. However, if you don’t use much gas (less than 4,397 kWh per month – you can find this on your bill) or you run a charity or not-for-profit organisation, you could be eligible for a 15% reduction and pay the 5% VAT rate that domestic customers do.
What business gas providers can I compare with Compare the Market?
We compare prices across many well-known business energy suppliers including:
- British Gas
- British Gas Plus
- Total Gas & Power
- Valda Energy
What our expert says...
"One of the quickest and easiest ways to cut the cost of your business gas is to switch to a cheaper tariff. There’ll be no interruption to your supply, and it won’t affect the day-to-day running of your business. Shopping around and comparing deals is one of the best ways to save money for your business."
- Liam Walker, Utilities comparison expert
What do I need to get a business gas online quote?
Simply enter your business postcode and our smart digital search tool can access everything we need to give you a quote.
It’s a good idea to have a recent gas bill to hand. This will tell you the name of your supplier, the current tariff you’re on and how much energy your business uses.Enter your business postcode
Frequently asked questions
Can I switch suppliers if my business gas is supplied by an independent gas transporter (IGT)?
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.
Can I get a smart meter for my business?
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.
I’m on a fixed rate tariff – can I switch before my contract ends?
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.
What’s a deemed contract?
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.
What is a microbusiness?
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.
Can I get a business gas tariff if I work from home?
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.
Are business gas rates cheaper than domestic?
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.
Who is my business gas supplier?
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.
What’s green business gas?
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.
What support is available if I’m struggling to pay my business gas bills?
If you’re struggling to pay your business energy bills, you might qualify for a discount under the government’s Energy Bill Relief Scheme (EBRS). The scheme, which runs until 31 March 2024, offers eligible businesses a discounted unit price for their gas and electricity during the current cost-of-living crisis.
You don’t have to apply for the EBRS. If your business is eligible the discount will be automatically applied to your bill.
You should also 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.