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Over the past 18 months, business gas prices have been trending downward but have stabilised. Currently, gas prices are still higher than before the crisis, and predictions from Cornwall Insights indicate that they are expected to remain relatively flat for at least the next three years.
This situation provides UK businesses with an opportunity to find cheaper business gas deals in an uncertain market. By comparing business gas prices, companies can potentially save money and achieve greater stability during fluctuating periods.
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Business gas prices fluctuate daily and can differ significantly between companies. One of the
key factors influencing the price your business pays for commercial gas are its annual consumption.
Typically, larger businesses receive a lower unit rate (price per kWh) due to their higher consumption, but they face a higher standing charge. In contrast, smaller companies with lower gas consumption often pay a slightly higher unit rate but enjoy a lower standing charge.
Business Size | Annual Usage | Unit Price per kWh | Daily Standing Charge | Compare Tariffs | |
---|---|---|---|---|---|
Micro Business ![]() |
0 to 5,000 kWh | 9.2p | 34.5p | Calculate my price > | |
Micro businesses usually have fewer than 10 employees and have a low energy usage. This could be local independent businesses like coffee shops, dog groomers, retail or trade services. | |||||
Small Business ![]() |
5,000 to 15,000 kWh | 7.9p | 39p | Calculate my price > | |
Small businesses usually have fewer than 50 employees and have a low energy usage. This could be local businesses like a small restaurant, bakery, office or takeaway. | |||||
Medium Business ![]() |
15,000 to 25,000 kWh | 7.7p | 39.2p | Calculate my price > | |
Medium businesses usually have between 51- 250 employees and have an average business energy usage. This could be a small chain of retail shops, manufacturing company, a bank or wholesale. | |||||
Large Business ![]() |
25,000 to 50,000 kWh | 7.7p | 46.5p | Calculate my price > | |
Large businesses may be a corporation, typically have 250 or more employees. This could be a single large business with a high usage of energy. Examples include hospitals, factories or businesses that heavily depend on energy usage for the running of their business. | |||||
Very Large Business ![]() |
50,000 to 100,000 kWh | 6.6p | 129.8p | Calculate my price > | |
Very large businesses may heavily depend on energy usage for the running of their business and therefore have a very high usage. This could be a corporation, typically will have 250 or more employees. Examples include hospitals, factories or supermarkets. |
The data is correct as of July 2025. Prices are from our panel of suppliers based on a two-year business gas contract, with the midpoint of the annual usage band used to calculate the annual costs. These prices reflect a live market and are subject to fluctuation.
Small businesses usually pay around 7.9 pence per kilowatt-hour (kWh) for a 2-year gas contract in July 2025. This is a 0.4p increase in average small business gas prices from the previous month.
We understand that small businesses have busy schedules, making it easy to delay switching to a more competitive gas supplier. We have created a switching service based on customer feedback. This service allows you to switch suppliers at any time, day or night, entirely online. You can view great gas prices in just 30 seconds and complete the switch with only a few clicks.
Very large businesses usually pay around 6.6 pence per kilowatt-hour (kWh) for a 2-year gas contract in July 2025. This is a 0.2p increase in average very large business gas prices from the previous month.
High-consumption business gas users often have specific needs. Our experts take the time to understand your business and design the ideal tariff to maximise your savings.
We offer a range of services, including gas usage audits, meter installation, and management systems, to create the best solution for you.
Prices can vary significantly from one supplier to another, so there's rarely a single cheapest option for gas. The best supplier for your business depends on your specific usage patterns and timing. Below, you'll find insights about our panel of gas suppliers, as their prices will differ based on your location and energy consumption.
1 year prices
2 year prices
3 year prices
Supplier | Unit Price (p/per kWh) | Standing Charge (p) | Compare suppliers |
---|---|---|---|
British Gas Lite | 7.3p | 46.3p | Compare > |
Scottish Power | 7.6p | 35.8p | Compare > |
Valda Energy | 8.2p | 26p | Compare > |
British Gas | 8.2p | 48.1p | Compare > |
EDF Energy | 7.3p | 45p | Compare > |
SmartestEnergy |
6.6p | 144.3p | Compare > |
Yu Energy |
7.6p | 17.5p | Compare > |
Data correct as of July 2025. Business gas supplier prices per kWh are based on a one-year business contract with 25,000 kWh annual usage. These prices reflect an average of the live market and are subject to fluctuation.
Supplier | Unit Price (p/per kWh) | Standing Charge (p) | Compare suppliers |
---|---|---|---|
British Gas Lite | 7.2p | 46.3p | Compare > |
Scottish Power | 7.4p | 35.8p | Compare > |
Valda Energy | 8.2p | 26.5p | Compare > |
British Gas | 8.1p | 48.2p | Compare > |
EDF Energy | 7.2p | 45p | Compare > |
SmartestEnergy |
6.5p | 144.3p | Compare > |
Yu Energy |
7.6p | 17.6p | Compare > |
Data correct as of July 2025. Business gas supplier prices per kWh are based on a two-year business contract with 25,000 kWh annual usage. These prices reflect a live market and are subject to fluctuation.
Supplier | Unit Price (p/per kWh) | Standing Charge (p) | Compare suppliers |
---|---|---|---|
British Gas Lite | 7p | 46.9p | Compare > |
Scottish Power | 7.2p | 35.8p | Compare > |
Valda Energy | 8.1p | 27p | Compare > |
British Gas | 7.9p | 48.1p | Compare > |
EDF Energy | 7.1p | 45p | Compare > |
SmartestEnergy |
6.4p | 144.3p | Compare > |
Yu Energy |
7.5p | 18.3p | Compare > |
Data correct as of July 2025. Business gas supplier prices per kWh are based on a three-year business contract with 25,000 kWh annual usage. These prices reflect a live market and are subject to fluctuation.
When you use our online comparison engine, you will discover a variety of tariff options, including the cheapest fixed and variable tariffs.
Ensuring that you are on the correct business gas tariff can lead to significant cost savings.
Choosing the right gas tariff depends on how and when your business operates. For instance, a business that primarily operates late at night and on weekends may benefit from Economy 7 or Economy 10 tariffs. Dual fuel tariffs are not available for businesses and are a domestic product only.
Here are some of the tariffs you might want to consider:
A fixed-rate tariff offers a set price per kWh of gas used, which remains unchanged for the duration of your contract. Many companies prefer fixed-rate tariffs because they provide security and allow for predictable expenses, making budgeting easier.
Additionally, fixed-rate tariffs protect businesses from fluctuations in wholesale gas prices.
Most business gas tariffs come with a daily charge that suppliers impose to cover billing and maintenance costs.
Some suppliers offer no-standing charge tariffs. While this option may seem attractive, especially as standing charges have increased, the unit prices for gas can be significantly higher, which may end up costing you more overall.
Variable gas rates offer businesses the advantage of flexibility, especially when wholesale gas prices rise.
With a variable tariff, the cost of gas can change based on market conditions, meaning your expenses may vary from month to month. However, this flexibility also allows you to monitor the market and take advantage of potential savings. If you find that gas prices become too high, you have the option to switch to a fixed-rate gas tariff at any time. This way, you can lock in a stable rate and protect your business from further price increases, ultimately helping you manage your expenses more effectively.
Businesses that have not reached a new agreement with any supplier may be subject to a rollover tariff.
This tariff is an expensive, legally binding contract that businesses tend to avoid due to the high costs associated with their contracts and unit rates.
We compare gas quotes online with a trusted panel of suppliers that include some of the largest in the UK. This ensures that our customers are getting a great deal.
There are a range of factors that may impact your quote including:
You'll see different business gas prices based on the length of contract you choose. Some suppliers will offer cheaper unit rates of gas for longer fixed-rate deals.
Some suppliers may offer lower unit rates for larger gas purchases. For instance, a business that uses 50,000 kWh annually might receive a better rate than one that uses 10,000 kWh.
Gas suppliers purchase the fuel you use in your home and business from the wholesale market. Any changes in these prices will be reflected in your business gas quote.
We work hard with our suppliers to ensure you're getting a great deal on your business gas. However, there are a few tips we can share that can help you get the most accurate gas quote for your business.
- How much gas does your business actually use and when do you consume the most fuel?
- What contract length would you like? What other qualities would you like your supplier to have other than a cheaper price?
- Consider customer service, added features and billing options.
- Do you require a renewable gas deal?
If you are within 12 months of your Contract End Date, you are allowed to start comparing business gas prices.
If you find a great deal you can lock it in from then. Your new supplier will let you know the start date of your new contract, and if you use a broker like Energy Helpline, they will contact your old supplier to let them know you are switching.
There are several ways to find out your gas supplier if you don’t know who it is. Here are a few options:
We'll aim to complete your business gas switch within 5 working days from approval.
The flat 20% VAT rate applies to business gas bills. However, there are VAT exemptions for non-profits where the VAT rate would be 5% - the same as for domestic users. You should speak to your business gas supplier if you think you may be eligible.
The Climate Change Levy is a tax charged on businesses to encourage them to become more environmentally friendly. Businesses that pay CCL are charged 0.775p per kWh for gas and also 0.755p per kWh for electricity (from April 2024). This amount is set by the Government every year.
The CCL tax is imposed for energy used for lighting, heating and power purposes for businesses in the industrial, commercial, agricultural and public service sectors. There are exemptions to this charge. These include:
Multiple factors are considered when commercial gas suppliers are calculating prices. This includes wholesale prices, cost of network upkeep, contract length, the businesses credit rating, annual consumption and regional location of the business.
A Meter Point Reference Number (MPRN) identifies the gas meter at a property. This helps ensure you're being billed for the right amount of gas consumed.
If you don’t have a smart meter, you may be eligible for one, provided there are no impediments, such as a weak signal in your location, or if you are a tenant, if you do not have your landlord’s permission.
Fortunately, finding out if you’re eligible is easy. Simply request one from your supplier, or if you switched to your supplier using a TPI or broker, contact them to request.
If you’re eligible, you can book a time and day for an engineer to come and install your smart meter. On the day, let them in and you will shortly be able to reap the rewards of a smart meter sending gas readings every half hour.
Due to the larger amount of gas being used, business gas rates are usually cheaper than domestic gas rates. That being said, the larger gas usage is why businesses will have much larger gas bills.
You may be eligible to sign up to a business gas tariff if you work from home, however, the majority of your gas usage must be used for your business.
Eligibility criteria can vary between suppliers, so it is best to contact your supplier to enquire if there is a tariff for you. If you are not eligible, you can compare and switch to the best domestic gas tariff
Independent Gas Transporters are private companies that are responsible for handling gas transport in sections of pipework after the Nation Grid’s gas infrastructure ends. If your MPRN number begins with either 74, 75, 76 or 77, then your gas comes from an IGT.
The good news is your gas supply works the same as if your gas came from the National Grid. The price you pay for gas is the same too, and you can switch energy suppliers just like everyone else.