Our use of cookies 
Business electricity prices
Compare September 2024 Commercial Electricity Rates & Save up to 45% Today
Just enter your business postcode…
How much could you save?
- Receive competitive quotes in minutes
- Compare trusted UK based suppliers
- Best fixed electricity rates from our experts
Business electricity prices per kWh in September 2024
Below is a table of indicative business electricity rates to assist in budget planning and decision-making for your business. Our experts update these rates weekly to reflect current market conditions.
Important note: the prices listed are averages and can vary based on your location, the size of your business, and the contract terms agreed upon. To get a bespoke quote for your business, start by entering your postcode.
| Size | Annual Consumption kWh | 1 Year fixed elec rate p/kWh |
|---|---|---|
| Small | 10,000 to 50,000 | 23.2 |
| Medium | 50,000 to 100,000 | 21.2 |
| Big | 100,000 + | 21.0 |
Request Business Energy Quotes
Current business electricity rates
Understanding how business electricity prices have evolved can help you make more informed decisions about when to fix business electricity rates. Below is a graph illustrating the changes in business electricity rates over the last 18 months.
Average business electricity rates
The table below presents the average business electricity rates from 2021 to 2024. Tracking historical electricity rates can be crucial for businesses planning their budgets and energy strategies.
| Size | Annual Consumption kWh | 2021 average rates p/kWh | 2022 average rates p/kWh | 2023 average rates p/kWh | 2024 average rates p/kWh |
|---|---|---|---|---|---|
| Small | 10,000 - 50,000 | 14.62 | 53.37 | 27.29 | 23.01 |
| Medium | 50,000 - 100,000 | 11.89 | 51.37 | 25.30 | 21.01 |
| Big | 100,000 + | 11.69 | 51.17 | 25.09 | 20.81 |
💡 This data provides a clear overview of how prices have fluctuated over the past few years, helping you to understand longer-term trends and make informed decisions about fixing your business energy prices.
Sources – The tables and graphs presented above are sourced from: AquaSwitch business electricity prices
Average business electricity usage in the UK
Understanding your business’s electricity consumption is pivotal when collecting quotes from business energy suppliers. Below is a table displaying the average electricity consumption in kilowatt-hours (kWh) for businesses of various sizes:
| Business Size | Average Annual Electricity Consumption (kWh) |
|---|---|
| Micro | 7,500 |
| Small Business | 20,000 |
| Medium Business | 35,000 |
| Large Business | 90,000 |
| Industrial | 250,000 |
💡 Electricity consumption significantly impacts energy pricing because it affects suppliers’ perceived risk and potential profitability. Businesses that consume large amounts of electricity can typically negotiate lower prices.
Source: Statistica Business Energy Consumption UK
How to get the best commercial electricity prices
Securing the best electricity prices for your business is crucial for controlling operating costs. Our experts present our three top tips for getting the best commercial electricity prices:
Compare Multiple Suppliers
Don’t settle for your business electricity renewal quote. Comparing quotes from multiple suppliers allows you to leverage the competitive market.
Providers offer different rates and terms, and shopping around can reveal the most cost-effective solutions tailored to your specific energy consumption needs.
Fixed-rate Electricity Contracts
In a volatile energy market, fixed-rate contracts can provide stability and predictability in energy costs, which is invaluable for budget planning.
These contracts lock in a price per kWh for the duration of the agreement, shielding you from price spikes that could affect variable-rate plans.
Provide an accurate consumption estimate
Business electricity quotes include a unit rate per kWh of electricity consumed and a daily standing charge.
By accurately estimating your business’s electricity consumption, you can compare the estimated annual cost of each quote you’ve obtained.
Best business electricity prices
Get the best business electricity rates from our UK-based experts
Just enter your business postcode…
How much could you save?
Start saving now
- Compare a range of business electricity quotes
- Trusted business electricity suppliers
- Free advice from our energy experts
What affects business electricity rates?
Understanding the factors influencing business electricity rates can help you make more informed decisions when selecting a business energy supplier.
Here are the key elements that impact the pricing of commercial electricity:
Market conditions
Electricity prices are subject to the broader energy market dynamics, including changes in supply and demand, fuel prices, and geopolitical events. These fluctuations can cause prices to vary significantly over time.
Your business location
Britain is divided into regional electricity grids operated by different distribution network operators. The cost of distributing electricity in each region depends on the local infrastructure.
Time of use
Companies with an economy 7, half-hourly, or a smart business energy meter can benefit from cheaper off-peak electricity prices. The electricity demand is lower outside of working hours, leading to lower prices.
Find out how to upgrade your meter with our business electricity meter installation page.
Renewable electricity options
Green business electricity contracts guarantee that the electricity supplied to your business will be generated from renewable energy sources like wind farms, which are typically more expensive than standard tariffs.
Business electricity prices FAQs
Our team of business energy experts has compiled answers to some of the most common questions about business electricity prices.
This section is designed to provide you with detailed insights and practical advice to help you navigate the complexities of choosing the best electricity plan for your business needs.
What is the average business electricity bill?
The average business electricity bill can vary widely depending on several factors, including the size of your business, industry, location, and energy consumption patterns.
In our guide above, we’ve provided average business electricity rates and consumption. Using these as a guide, small businesses might expect to pay from £1,000 to £2,500 per year, whereas medium-sized businesses may see bills ranging from £2,500 to £5,000 annually.
Are business electricity rates cheaper after 6pm in the UK?
In the UK, business electricity rates can be cheaper after 6pm, which is considered an off-peak period. However, to benefit from reduced off-peak rates, your business must be equipped with a multi-rate meter and be on an off-peak business electricity tariff.
Off-peak tariffs are designed to offer lower rates during times of lower energy demand, typically overnight and on weekends. If your business operates extensively during these hours, switching to an off-peak tariff could result in significant savings on your energy bills.
What is a kWh?
A kilowatt-hour (kWh) is a unit of energy measurement that represents the amount of energy used when a 1,000-watt appliance runs for one hour. For example, if you use a 100-watt light bulb for 10 hours, you have consumed 1 kWh of energy.
A kWh is the standard unit used by business electricity providers to calculate your energy consumption and determine your electricity bill.
Do business electricity prices vary by region?
Yes, a significant component of business electricity prices is determined by electricity distribution costs.
The distribution costs depend on your local electricity distributor operator. Prices are typically most expensive in Merseyside & North Wales and cheapest in the East Midlands.
Are business electricity prices coming down?
Predicting future business electricity prices is challenging due to their dependence on a variety of unpredictable factors, such as geopolitical events, changes in supply and demand, and regulatory developments. These elements can cause significant fluctuations in energy prices, making it difficult to forecast long-term trends accurately.
A fixed-rate business electricity tariff can shield your business from unexpected fluctuations in electricity prices. Visit our business electricity comparison page to get quotes for your business today.
Will my business electricity prices rise mid-contract?
It depends on your current business electricity tariff. In a standard variable tariff, your business electricity prices per kWh can increase or decrease depending on market conditions.
In a fixed electricity tariff, there are only limited circumstances where your business electricity rates can change.
How do I negotiate a better business electricity deal?
In the last year of a business electricity tariff, your supplier will automatically send you a renewal offer, which sets the rates that apply when your current tariff ends.
This is the best time to negotiate with your current supplier to get a better business electricity renewal offer; here’s how:
- First, compare business electricity rates from other suppliers to get an idea of how competitive your renewal offer is.
- Then, contact your current supplier’s customer services department and ask them to match the best electricity quote you’ve received from other suppliers.
Business electricity suppliers don’t want to lose customers, so this is the point where you’re in the best position to negotiate a better deal for your business.
How can I address high costs in my business electricity contract?
Switching to a more cost-effective supplier can significantly reduce business electricity costs. To facilitate this, our Business Energy Contract Termination Template can help you smoothly transition to a new supplier.