With the UK energy prices, no business owner wants to overpay for their business energy bills. The truth is that choosing the right business energy deal can help you save money. But you need to make sure that you renew your current energy contract or switch to another tariff immediately after the expiry of your energy contract. This can assist you to avoid being placed on a deemed business energy tariff which is more expensive than the contractual energy tariffs. This article is a deemed energy contract for businesses guide.
A deemed energy contract
Your business energy supplier can place you on a deemed energy contract when you relocate to new business premises and start using electricity or gas before you agree to an energy contract with the energy provider. Your business can also be placed on a deemed business energy contract if your energy contract expires, and you continue to use energy. Remember that this can occur when your energy contract is terminated by the energy supplier or you or when the energy contract expires.
A deemed energy contract is often more expensive than negotiated business energy tariffs. For small and medium businesses, deemed energy rates can be at least 80 percent higher than contractual energy deals. Unfortunately, most small businesses are on deemed energy contracts. Therefore, they are paying a lot of money for the electricity or gas they use.
Your rights on deemed energy contracts
The good news is that many businesses that are on deemed energy contracts have the right to change business energy suppliers without paying a fee. Therefore, if your business is placed on a deemed energy contract, your business energy provider cannot stop you from switching to another business energy tariff or business energy supplier at any time or for any reason.
Your business energy supplier can also not request you to provide notice before terminating the energy contract. Also, they cannot charge you a termination fee. Even better, your business energy provider needs to take the necessary steps to offer you the principal terms of the deemed energy contract.
This can include letting you know about all your energy charges and fees. An energy supplier should also tell you about alternative business energy contracts that are available and the way you can access this information.
And, if your business energy provider places you on a deemed energy contract, then you need to compare business energy rates and switch right away. Because there is no exit fee, you can decide to make the switch at any time. This can help you make significant savings for your business.
By switching through a business energy broker, you can compare business energy rates from several reputable business gas suppliers or business electricity suppliers. After all, many business energy brokers focus on finding the best energy prices for businesses regardless of the size and location of your business. Also, a business energy broker can help you to switch business energy tariffs or suppliers easily and quickly. This means that you can start saving immediately after making the switch.