Average Business Energy Bills in the UK: What Should You Expect to Pay?

Energy costs are a major overhead for UK businesses, but what is “average” when it comes to business energy bills? Knowing the typical costs for businesses of your size and sector can help you benchmark your spending and identify opportunities to save.

Follow our Understanding Your Energy Bills blog series to learn more. 

What Are the Average Business Energy Bills in 2025?

As of 2025, the average annual energy bills for UK businesses are:

Electricity:

  • Micro business: £2,723
  • Small business: £5,579
  • Medium business: £11,226
  • Large business: £13,492+

Gas:

  • Micro business: £914
  • Small business: £1,805
  • Medium business: £3,672
  • Large business: £5,417+

These figures include both unit rates and standing charges, but your actual bill will depend on your usage, location, and contract.

What Affects Your Business Energy Bill?

Several factors influence your bill, including:

  • Business size and sector: Larger and energy-intensive businesses pay more.
  • Location: Regional distribution costs can affect prices.
  • Contract type: Fixed tariffs offer budget certainty; variable tariffs may be cheaper if wholesale prices fall.
  • Usage patterns: Operating hours, equipment efficiency, and staff habits all play a role.

How Can You Reduce Your Energy Bills?

  • Compare suppliers regularly to avoid expensive out-of-contract rates.
  • Invest in energy efficiency (LED lighting, modern equipment, smart meters).
  • Encourage staff to save energy and review usage patterns for waste.
  • Consider renewable options for long-term stability and sustainability.

Understanding average business energy bills helps you benchmark your costs and spot savings opportunities. Regularly reviewing your contract and usage is the best way to keep your bills under control.

Think your business may have overpaid on energy bills?

A recent landmark court ruling means you could be entitled to reclaim thousands of pounds in hidden broker fees or mis-sold energy contracts.

Contact Business Energy Claims today to find out if you’re eligible.

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