To provide you with an overview of how the gas and electricity industry works, we have done some research and found this very media friendly video produced around 2 years ago [so a little out of date but the basic facts remain the same]. It explains the way the gas and electricity network works in relation to consumers and suppliers. Worth a viewing to get an overview of the subject matter.

Whilst liberalisation of the market is an imperfect method of improving the situation for both Business and Domestic customers, this along with some legislative requirements on the part of the government has shown some improvements. Some of the regulatory bodies discussed in the film were from a Business Energy Consumer fairly toothless in terms of addressing some of the hardline tactics of most suppliers. So once again Businesses need to be smart, manage their energy carefully otherwise it will cost!

Why You Should Consider a Broker

That said, the fairly obvious message is that businesses have to remain pretty sharp or use someone like a broker to manage these processes. The suppliers at the end of the day are intent on maximising the margins from their own customers and will also work very hard to make retention a fundamental priority at all costs. They are in the market to make money. The terms and conditions of most suppliers are somewhat unforgiving (understandably), you sign a contract you stick to that contract. One of the most unusual aspects is that virtually all contracts have a ‘rollover’ element that means if you don’t give three months notice, your business will be stuck with another contract at Rates decided by the supplier and you have no say. Consider a broker:

• To protect yourselves from predatory sales practices
• To avoid contract rollovers (where rates cannot be negotiated!)
• To avoid registration problems therefore avoiding out of contract rates
• To be made made aware of draconian contract terms eg personal liability for business energy debts (and many more….)
• To ensure problem resolution from experienced professionals
• To ensure accurate billing validation

AND, OF COURSE – achieve significant savings against typical supplier renewal rates which can be as much as 30-40%