Energy prices increase – How this affects your business supply and what can you do in these uncertain times?

Energy prices are at all-time high, with forecasts expecting this to increase other the next 2 years.

Why are energy prices so high currently?

The mitigating factors are the Conflict in the east, the UK import around 5% from Russia currently with plans announced to reduce this to zero, we will look to import Gas from other countries to cover for this shortfall and liquid gas from the states and middle east.

The gas shortage is worldwide problem and as a result this has drove trading prices to an all-time which has a knock-on effect to the prices you pay for fuel, Electricity and Gas.

A National Grid site in October 2021 was shut down after a power cable linking electricity supplies between the UK and France following a fire, a power cable running under the English Channel was “not operating” after the fire, however.  Lost capacity will compound UK’s energy woes while ‘extensive work’ is carried out on French connection.

We are running at 50% capacity with expected repairs not expected to be completed until October 2023.

Energy suppliers out of contract rates have increased tenfold since the conflict and power cable fire putting many businesses at risk of going out of business.

The option has simply come down to accept the increased prices from suppliers or pay out of contract rates some are upwards of £1 a unit which will put any business with a solid foundation under severe financial pressure.

What does this mean if I am in a long-term contract?

This is best situation to be in at the moment if this contract was agreed pre-July 2021 before we saw the market increase, however the advice we will give is not to agree to anything further than 24 months as we expect prices to drop at some point and the last thing you want to be in is a long term contract if the market drops and your still paying a premium, our recommendation is to fix for 24 months – 36 months maximum.

What does this mean if my renewal is due?

If your contract is due to expire before Winter 2024, you’re likely to be paying an increased price based on the expected market conditions, do not renew for 12 months is our advice due to suppliers’ prices being more expensive on that term, our recommendation is to fix for 24 months – 36 months maximum.

Can I still switch to a new supplier?

If your business premises are in an energy contract your contract is fixed for that term which should be shown on your bill(s).

The only legitimate way to exit a current contract is if you vacate the premises.

If your current energy is on variable rates (high prices) then your current supplier will allow you to leave with a 30-day termination window.

What will we do differently to your existing broker / supplier?

Our approach is one of honesty and integrity and therefore lots of blue-chip companies trust us with their energy requirements.

We don’t hide inflated commissions in our pricing, we don’t try to pull the wool over your eyes and complicate energy, we give you straightforward pricing and present prices showing our uplifts and one thing for sure in these uncertain times we will put your interests first.

If your broker is not disclosing their uplifts and commissions ask yourself why, we have taken on many businesses who had long lasting relationships with their current brokers not realising how much they were paying for that privilege.

We are all given the same prices it’s down to your broker how greedy they want to be.

We are experienced energy individuals, we won’t call you or bully you into your energy contract, you’re in control the whole journey.