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Is a No Standing Charge Tariff Right for your Business?

No standing charge

Introduction

If you run a seasonal business, did you know that you might able to save hundreds of pounds with a no standing charge tariff?

I know what you’re thinking, surely there can’t be a tariff that doesn’t have standing charges!

I’m here to tell you that not only do these tariffs exist, but you may have more of a choice than you’d initially think.

First, let’s take a closer look at what standing charges are.

What’s in this guide?

What is a standing charge?

A standing charge is the standard cost of your energy per day, even when you are not using it.

This means that if you went on holiday, you would still have a charge of £x per day, which can quickly add up as you will see on your monthly bill.

The vast majority of domestic and commercial tariffs have a standing charge as part of the average amount that you pay, but because most users will use energy every day, that usually isn’t an issue.

However, if you had a seasonal business such as a campsite, Halloween retailer, gardening or perhaps even an ice cream shop you may only operate within certain times of the year,  you may end up having to pay energy bills when you haven’t used it for weeks!

How much does a standing charge cost me?

Typically, the standing charge for business electricity ranges from 15p to 160p per day, and business gas can range from 25p to 130p.

Let’s do some quick maths for a second.

If for example, you run a campsite that is closed from November to February, leaving the site unmanned for three months, you could end up paying £1,350 for your unused electricity and £2,250 for your remaining gas!

So what is the solution? A no standing charge tariff?

Before you decide to switch, check out these pros and cons below.

Pros of a no standing charge tariff

  • Slash your standing charge bills
  • Only pay for the energy you use

Cons of a no standing charge tariff

  • Sometimes, energy companies will charge you more per kWh in your active seasons
  • Energy companies might make it more difficult for you to switch to a no standing charge tariff, as they will probably be losing money!

Comparison table

Company Business Type Tariff Options Tariff Length Criteria Company Trustpilot Rating
UGP Small, large & multi-site Fixed & eco 12 months to 36 months Available direct, UK businesses only ★★★★★
Contract Natural Gas Small, large & multi-site Fixed, flexible & eco 12 months to 36 months Available direct, UK businesses only ★★★
Npower Small, large & multi-site Fixed, flexible & eco 12 months to 36 months Available direct, UK businesses only
Total Small, large & multi-site Fixed, flexible & eco 12 months to 36 months Available direct, UK businesses only

United Gas & Power

As the highest rated energy supplier that offers no standing fee tariffs, it seems like a good idea to take a quick look into what benefits you can enjoy by switching to UGP.

  • Excellent customer service, according to reviews on Trustpilot
  • Suitable products for every business, regardless of size
  • Smart meter billing options, to avoid estimated bills
  • Competitive pricing
  • On selected tariffs, customers can enjoy no standing charge tariffs
  • Discounts on dual fuel packages, meaning if you get both of your energies from UGP, you’ll benefit more

For a quote to see how much you could save, this is what you will need:

  • Your name*
  • Company name*
  • Your postcode
  • Email address*
  • Telephone*
  • Approx gas usage a year
  • Approx electricity usage a year

*Required

Conclusion

In conclusion, choosing the right energy supplier could save you hundreds (if not thousands) of pounds on your energy, it’s just finding the right one who puts the customer first and makes it easy for you to switch.

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