What should I do if I can’t afford my energy bills?
Energy prices have been slowly rising since April 2021 and it’s hard for businesses not to notice. In August 2022, over 20% of businesses said energy prices were their main concern. But what options are out there if you’re struggling to afford your energy bills?
Agree on a payment plan with your supplier
One way to help your business make their energy bills more manageable is to agree on a set payment plan with your supplier. Our team of energy experts at Flame Energy can help you negotiate the best payment plan for you. This will all depend on the amount of debt as well as how long the debt has been on the account. This will also consider your history with the supplier. Each supplier will have their own guidelines for setting up payment plans.
Make sure you’re on the best tariff
It’s also useful to check that you’re on the best tariff to suit your energy requirements. You can do this by getting in touch. There are a variety of different tariffs so swapping may be the key to helping you manage your business’ energy bills.
Fixed vs Variable tariffs
With a fixed rate tariff, your unit price for gas and electricity will not change at any point of your contract. These types of tariffs are a great way to offer security and can often be a cheaper option. However, they often leave you tied into a contract for a year and can leave you with hefty fees if you want to leave early. On a variable tariff, your unit price for gas and electricity can vary depending on your supplier. These tariffs are usually more flexible and easier to exit.
Deemed/ out of contract rates
If you do not renegotiate your energy contracts once they have ended, your supplier can place you on a ‘deemed’ or ‘out of contract’ tariff. This might also be used if you move into new business premises. These tariffs are some of the most expensive tariffs on the market, with some prices being 80% more expensive than the average energy contract.
If you find you’re on a deemed energy contract, Flame Energy can help you switch to a more affordable energy contract. You are not legally bound to deemed rates in the same way formal contracts work so your supplier cannot stop you from switching your supplier at any time.
Check you’re being billed correctly
If you aren’t being billed correctly, you might be paying too much for your energy bills. If your supplier is estimating your bills, this could be causing inaccurate bills. Your supplier may be estimating the amount you’re using which may be more than the reality of your use. Take regular meter readings to send to your supplier to make sure they are only charging you for what you use. The team at Flame Energy can support you with bill validation to ensure that you’re being charged correctly. We’ll look at your meter readings to give you the peace of mind that you’re being charged the right rates, at the right consumption.
Ask the experts
Deciding which contract works best for your budget can be time consuming and a difficult process. Try going through a brokerage and let our experts find you the most affordable gas, electricity, and water contracts to fit your business’ needs and budgets.
Navigating energy contracts can be difficult, especially at the moment. Our team of experts at Flame Energy on hand to help you secure the best energy contracts to match your business’ needs. Give us a call today on 0115 648 5655 to find out more about how we can help you.
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