Contracts and renewals
Energy broker or go direct? The pros and cons
Short answer
Going direct means getting quotes from each supplier yourself. An energy broker gets offers from several suppliers at once, explains the terms and handles the paperwork, and is usually paid commission included in your price. For contracts agreed from 1 October 2024, suppliers must show that commission in the principal terms.
Going direct
- For: no broker commission in the price, and a direct relationship with the supplier.
- Against: you contact each supplier separately, compare quotes in different formats and read every set of terms yourself.
Using an energy broker
- For: several offers in one go, someone to explain fixed versus pass-through costs, and help with the switch paperwork.
- Against: commission is usually included in your unit rate or standing charge, and a broker only compares the suppliers they work with.
Questions to ask any broker
- How many suppliers do you work with for a business like mine?
- How much commission is included, and where does it sit?
- Which dispute resolution (redress) scheme are you a member of?
- Is my contract with the supplier, and what happens at the end of it?
How Energy Sorted fits in
We’re not a broker or a supplier. We pass your enquiry, with your agreement, to an energy expert we work with, who is an energy broker. See how we’re paid.
Sources
- Ofgem: Energy advice for businesses (ofgem.gov.uk)
Questions
Are energy brokers regulated?
Ofgem regulates suppliers rather than brokers, but suppliers must only work with brokers who belong to a redress scheme for micro and small business customers, and broker fees must be shown in the contract.
Is a broker always cheaper?
Not always. A broker saves you time and explains the options; whether the final price is lower depends on the offers available for your site. Compare the total cost, commission included.
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
Your next energy contract deserves a closer look.
About two minutes. No obligation.