How Not To Get Rolled By Your Business Electricity Supplier

p>Gas and electricity is the same wherever youhelp but in a typical example from one of the 'Big
buy it from but there are thousands of different6', the renewal window opens 60 days before the
tariffs for business energy users amazingly it cancontract end date and closes 45 days before the
differ in price threefold in the UK. As a resultend date.
British businesses are collectively pay £2NB Not-for-profit buildings such as churches,
billion more than they need to on their energy bills.community centres, Scout huts etc are all treated
That's more than £1,000 for everyas businesses in the eyes of utility companies.
business with an electricity meter, simply going toThese are the steps we would recommend any
waste.business takes:
A lack of published information makes it almost1. Request a copy of the terms & conditions
impossible to compare prices. As a result, veryof your contract from your supplier as well as the
few businesses manage to get on the best ratescontract end date.
and even then they are unlikely to stay on them2. Serve notice in the timeframe outlined in the
once the initial fixed term has ended. This isT&Cs with a termination letter sent by
because business contracts automatically roll over,recorded delivery (if the timeframe is unclear, do
locking you into a new - and typically far morethis immediately and keep a copy of the letter).
costly deal.3. Also request a renewal quote from your
A million small businesses are on these type of 'rollsupplier if they have not already sent you one.
over' contracts which means they automatically4. Wait for your renewal window to open and
renew themselves - invariably with higher rates -then compare the renewal price with other
unless terminated. In other words... staying withsuppliers by using a price comparison service that
the same business energy supplier from one yearsearches the whole market.
to the next and you are likely to be locked into5. If offered cheaper prices, make sure you ask
rates much higher than those offered to attractthe questions that Ofgem recommends before
'new customers'. Leave it too late to serve noticeswitching.
and you could be left stuck paying the roll overAnyone who is confused by which rates apply to
rates for up to two years.their business, or need some advice on how to
Companies are often prevented from switchingbecome eligible for the best deals in future, should
because they are unaware that their contractscontact one of the few price comparison services
automatically renew before their old one expiresthat cater for businesses. Make It Cheaper, for
and only realise their predicament when theyexample, has recently launched a range of free
notice their direct debits shooting up - at whichservices that include:o Contract Checking to help
point it is too late. The only way to avoid the rollbusinesses find out their contract status - ie end
over trap is to serve notice to your supplier but -date and termination rules.o Renewal Reminder
depending on which one you're with - you maythat logs customer details and automatically
have to do this , say, 90 days before thecontacts them as their renewal window opens.o
contract expires and in a renewal window thatTemplate termination letters that customers can
lasts just a couple of weeks. Each of the suppliersuse to ensure there is no misunderstanding
have different rules of engagement which doesn'tbetween the customer and the supplier.