What you need to know when renewing your energy contracts
21 May 2019
We know for a lot of people, renewing energy contracts is the last things you want to spend your time doing. It can seem like a daunting, long winded task – but were here to show it doesn’t have to be! We wanted to share with you what we think you need to know when it comes to renewing your business energy contracts to show you just how smooth and simple the process can be… and if you would like to know how we can help read our blog detailing our customers journey.
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1. Think about your current supplier
Before you think about renewing your energy contracts, whether that be with the same supplier or going elsewhere, you should take some time to reflect on your experience with your current supplier. As yourself;
• were your business needs met?
• Was the level of customer service received satisfactory?
• Was a SMART meter fitted?
It can be easy to jump into a contract based on price alone, but its important to remember business energy contracts can be up to five years long, which is a long time to stay with a supplier you’re not happy with. We welcome your feedback and always want to know if a customer of ours has had any issues to help prevent similar happening to others.
2. You don’t have to change supplier
When thinking about switching your energy contracts, people are often put off because they are worried about switching supplier, but this doesn’t have to be the case. When it comes to business energy, when the contract finishes, you will often be put onto ‘deemed rates’ meaning you are not in a contract and are paying much higher than you previously were. To avoid this, we recommend renewing contracts at the earliest possible point.
Using a brokerage like Energy Advice Line means that we can compare prices across the market based on the renewal quote you provide us with. This could mean switching to another supplier based on price, or if you are happy with your current supplier we can renew your contracts with them meaning you don’t have to switch. It is very important to still use a brokerage even if you are going to remain wit the same supplier as often the renewal quote you are given will be much higher that what they may offer you as a new customer.
3. Make sure you have your renewal offer
Your supplier should provide you with a renewal quote a couple of months before your energy contract comes to an end, however you can also request this yourself. We recommend requesting your renewal quote three months before your energy contract ends (the end date has to be displayed on all of your bills). Doing this will allow you to act quickly and secure the best prices possible. It is no secret that business energy prices are on an upwards climb with no signs of this changing, so the quicker you secure your new contracts the more money you will save in the long term.
4. Know your annual consumption
Before you begin obtaining renewal quotes, you should make yourself familiar with your annual consumption. This is really important as this will give your supplier an indication of how much energy they will need to by from the wholesale markets. If your consumption ends up being significantly higher that suggested the supplier could issue you with a penalty charge. Often your monthly consumption will be displayed on your bill but if you are in any doubt you can ask your current supplier to provide you with the information.
As always, we are here to answer any queries that you may have. If you are concerned about renewing your energy contracts, then we are happy to spend time talking you through the process. Currently about 60% of UK Businesses are not switching their energy contracts meaning there are savings to be made. Get in touch today and see if we can help your business save.