Business energy renewals: a practical timeline

Why timing matters more than you think

Most avoidable costs in business energy come from timing rather than price. Contracts lapse onto out-of-contract rates, notice periods get missed, or renewal offers are accepted without comparison because there is no time left. A simple timeline avoids all three.

A practical timeline

When	What to do
12 months before	Find your end date for every supply. Larger sites start looking at strategy and market timing.
6 months before	Check the notice terms in your contract. Gather recent bills and meter numbers.
3–6 months before	Review options. Many suppliers will price a contract that starts on your end date.
Before the end date	Agree the new contract and confirm the start date.
After the end date	Check your first bill on the new contract against the agreed rates.

Notice periods

Some business contracts require written notice that you intend to leave, often 30 to 90 days before the end date. This is more common in contracts for larger businesses. Ofgem rules mean suppliers can't require microbusinesses to give notice of their intention to switch. If you are not sure which applies to you, check your principal terms or ask your supplier in writing.

Renewal letters

Suppliers usually write to you before your contract ends with a renewal offer. For microbusinesses, suppliers have to give clear information about the end of the contract and the options. Treat the renewal price as one offer, not the only one. It is worth comparing.

Where to find your end date

• Your contract or the principal terms
• A recent bill, often near the tariff details
• The renewal letter
• Your supplier's online account, or by asking them in writing

What happens if you do nothing

Depending on your contract and supplier, you may move onto out-of-contract or variable rates. These are usually higher than agreed contract rates. Some older or larger-business contracts may roll over onto a new fixed term. Read out-of-contract rates if your end date has already passed.

Renewing several sites

If you have more than one site, end dates are often scattered. Put them all in one list and consider aligning them over time. See multi-site procurement.

What to have ready for a renewal

• A recent bill for each supply
• Your MPAN and MPRN numbers
• Annual consumption, or 12 months of bills
• Half-hourly data for larger electricity supplies
• Any planned changes, such as new equipment, longer hours or moving premises

Questions to ask about a renewal offer

• How does it compare with my current rates, and why?
• Is everything fixed, or are some costs passed through?
• How much broker commission is included?
• What notice will I need to give at the end of this new contract?

Common mistakes

• Waiting for the renewal letter instead of diarising the end date
• Assuming no notice is needed when the contract requires it
• Comparing renewal prices with old contract prices agreed in a very different market

Renewing with a particular supplier?

• British Gas business renewal
• EDF business renewal
• E.ON Next business renewal
• ScottishPower business renewal
• Octopus Energy business renewal

Sources

• Ofgem: Microbusiness strategic review decision (ofgem.gov.uk)
• Ofgem: Energy advice for businesses (ofgem.gov.uk)

Questions

We introduce enquiries to an energy broker partner and may receive a fee. We're not a supplier and don't give whole-of-market advice. How we're paid