< Back to latest news

So your business energy contract is coming to an end, but quotes for a new contract look expensive, so what can you do?

Mar 8 2022 4:41 PM

So, it's March 2022, and the energy crisis is in full swing.

With a mixture of events from October 2022 right up to now, business energy costs are at an all-time high.

Some businesses are staring down the barrell of 500%+ increases. Completely budget chattering. Completely unsustainable.

So, what are the options, and which is best?

Option 1 - do nothing.

"Really?" we hear you ask. Well yes, it's an option, but all these options come with a "depending on your current supplier and individual circumstances" caveat.

If you current supplier's "out of contract" rates aren't as high as what quotes you have on the table, then it might be better to stick it out.

But beware - suppliers might change their out of contract rates VERY quickly, without proactively letting you know.

If you decide option 1 - then it's at your peril, and you'd be wise to save the supplier's out of contract webpage as a favourite in your browser as you'll be checking it regularly.

Option 2 - sign on the dotted line.

If you don't like option 1, then signing a new contract might be your other main option.

Then get a cuppa, wipe the sweat from your brow, and start to think how you can reduce your usage to minimise the impact.

Just make sure you shop around. Here at CostAdvice we'll give you an honest comparison.

Got quotes from somewhere else and want us to beat them? No problem, just call us on 0800 040 70 90 for a comparison. We don't do the hard-sell here.

Option 3 - Flexible contracts

If you're lucky (or unlucky) enough to be using above approximately 3 million kWh of gas, or 5 million kWh of electricity, you might be able to opt for a flexible contract.

This means you don't necessarily have to commit to a long term (1 year or more) fixed price contract.

You can 'float' the cost, and so pay the going rate - and crucially this means you avoid out of contract rates.

"Is there any magic wand to make all this go away, or tricks-of-the-trade that enables us to avoid this whole mess?"

Unfortunately, no. 

However that might not stop some other brokers telling you there is some wonderful, unique, simple solution to help you avoid the high prices.

Don't believe the hype. Trust your gut. If it sounds too good to be true, it will be.

We understand. Energy prices right now are not sustainable, probably means your profits will dip or the prices for your products or service has to go up.

We feel for you. We're here for you.

If you're having trouble comparing, understanding, or even obtaining offers right now, please get in touch on 0800 040 70 90.