Smart Energy Insights
Energy Insights
Thomas McGlynn • 4 August 2026

British Gas Business Deemed Rates 2026 | Smart Energy

British Gas Business
British Gas Business
Deemed contract rates · OP UK-202330-1 / -2 / -3
Rates effective 24 May 2026

British Gas Business deemed rates

Move into a premises British Gas Business already supplies and never agree a contract, and this is what you pay. Here are the published figures, what they could cost your business a month, and how quickly you may be able to leave them.

Who this schedule applies to

Sites taking supply with no contract ever agreed — most often after moving into a premises British Gas already supplied, or where Ofgem has appointed them supplier of last resort.

Electricity
44.88p /kWh
214.15p a day standing charge.
Gas — under 73,200 kWh
15.01p /kWh
182.98p a day standing charge.
Gas — 73,200 kWh and over
10.53p /kWh
844.83p a day standing charge.
Cost calculator

What it's costing you a month

The published rates, plus the Climate Change Levy at 0.801p/kWh and VAT at whichever rate applies to a supply your size. Monthly, because that's how the bill lands.

50,000 kWh a year
5,000 200,000 400,000

Your annual usage is on your bill — shown as EAC for electricity, AQ for gas. A rough figure is fine.

a month
Energy
Standing charge
Climate Change Levy
VAT
Total a year
The published schedule

Every rate on the plan

Taken from British Gas Business's own document rather than averaged or estimated. All figures exclude VAT and CCL.

Electricity

Ex VAT & CCL
Applies to Unit Standing
Profile classes 01–04 44.88p 214.15p /day
Profile classes 05–08 + HH whole current 44.88p 214.15p /day
Unmetered supply
No standing charge.
47.13p None

Gas

Ex VAT & CCL
Annual usage Unit Standing
0 – 73,199 kWh 15.01p 182.98p /day
73,200 kWh and above 10.53p 844.83p /day
Daily meter
A site of any annual quantity can be registered as daily-read; it is mandatory above 58,600,000 kWh a year.
11.77p 53296.27p /day

Half-hourly electricity

Standing charge by TCR band
Voltage Unit Non-Residual Band 1 Band 2 Band 3 Band 4 Capacity
Low voltage 43.18p 215.85p 881.83p 1534.66p 1927.16p 4645.67p 8.41p /kVA
Low voltage substation 41.85p 227.27p 893.25p 1546.08p 1938.58p 4657.09p 8.75p /kVA
High voltage 41.23p 424.15p 4055.76p 13652.27p 22142.39p 60549.33p 8.99p /kVA
Extra high voltage 41.23p 129235.35p 129235.35p 129235.35p 129235.35p 129235.35p 3.12p /kVA
Standing charges are pence per day. These rates are the same in every DNO region on this schedule. Excludes charges for excess reactive power and excess capacity.

Source: British Gas Business, published rate schedule, prices from 24 May 2026 — doc ref OP UK-202330-1 / -2 / -3. Charges can be varied or withdrawn by the supplier on notice. If this page has fallen behind the published schedule, tell us and we'll correct it.

  • Prices exclude VAT and CCL, charged at the rate applicable to your business.
  • British Gas can change or withdraw these charges with 30 days’ written notice.
  • Half-hourly standing charges depend on your Ofgem TCR band; excess reactive power and excess capacity are charged separately.
  • Also applies to piped propane supplied at Llanfyllin, Llanwrtyd Wells, Colden and Stornoway.
How gas is priced

At 73,200 kWh the standing charge jumps

British Gas Business splits published gas rates into consumption bands. Crossing the threshold lowers your unit rate — and raises your standing charge by far more than most people expect.

Annual gas usage Unit rate Standing charge
Up to 73,199 kWh 15.01p /kWh £668 a year
73,200 kWh and above 10.53p /kWh £3,084 a year
The standing charge rises by
£2,416
a year, ex VAT — while the unit rate falls 4.48p/kWh

On this schedule the lower unit rate more than covers the bigger standing charge, so a supply above 73,200 kWh works out cheaper overall than one just below it — by roughly £864 a year at the threshold itself. The jump is still worth knowing about, because it's the standing charge that makes a small gas supply expensive here.

You can't choose your band. British Gas Business applies it according to the annual quantity held against the supply — which is an estimate, and estimates drift. If your usage sits anywhere near 73,200 kWh, it's worth checking the figure they're billing you on is the right one.

Check my gas charges
How quickly you can leave

Faster than most people think

This is usually where people are working from out-of-date information. Switching isn't the multi-week process it once was. Typical timings, assuming nothing is holding the supply up:

1
Working day, typically

Staying with British Gas Business

Moving from the default rates onto one of their fixed prices can often be done the next day. No switch, no registration, no objection window.

5
Working days, typically

Moving to a new supplier

Under Faster Switching, a change of supplier can usually complete within five working days once the new contract has been accepted and registered.

7
Days before your end date

If your contract is still running

Agree the replacement about a week before it ends and you shouldn't need to touch the default rates at all. The new price takes over as the old one finishes.

The one thing that genuinely holds a switch up is an objection, and there are only two common causes: an outstanding balance with your current supplier, or a change of tenancy that was never registered, so the account is still in someone else's name. Both are fixable, and both are far easier to deal with before you're relying on a start date. It's the first thing we check.

Which means there's no useful reason to wait. Every week on default rates is charged at default rates, and the week you spend arranging the replacement is the only one you can't get back.

Free second opinion

Already had an offer? Let us check it

Send us the renewal letter or the quote you've been given — a photo of it is fine. We'll put the unit rate, the standing charge, the term and the commission built into it against what else is available today, and tell you plainly whether it's a good deal.

Including if it already is. That happens, and we'd rather say so than waste your time and ours.

  • No obligation
  • We'll show the commission
Send us the offer
Know which one you're on

Deemed and out-of-contract aren't quite the same

The terms get used interchangeably and suppliers rarely distinguish them, but it's worth knowing which applies. Deemed means you're taking supply without ever having agreed a contract with that supplier — nearly always because you moved into a premises where they were already the incumbent. Out-of-contract means you had a contract, it ended, and nothing replaced it.

British Gas Business charges them differently — they publish a separate schedule for each, and the rates on this page are the deemed contract rates. If you had a contract that ended, a different schedule applies and the figures above aren't the ones you're on. The difference also matters for what happens next: a deemed supply usually needs the change of tenancy registering and an opening read submitted, and until that's done a switch can be objected to. If you've recently taken over a site, sort that first.

Common questions

How do I tell if I'm on these rates?

Look on your bill for a tariff described as deemed, variable or out-of-contract — or a contract end date that's blank or already passed. A unit rate near 44.88p/kWh is a strong hint. Send us the bill if the wording isn't clear.

Why is my gas standing charge so much higher than I expected?

Almost certainly the consumption band. Above 73,200 kWh a year the standing charge is 844.83p a day rather than 182.98p — £3,084 a year against £668. The lower unit rate above the threshold more than covers it, so crossing 73,200 kWh works out cheaper overall — but the standing charge is what makes a small gas supply expensive on this schedule. The band follows the annual quantity held against your supply, so it's worth checking that figure is right.

Do these rates include VAT and the Climate Change Levy?

No — the published schedule excludes both. CCL is 0.801p/kWh on electricity and gas, equalised across the two fuels. VAT is 20% for most businesses.

Smaller supplies are treated differently: under 33 kWh a day of electricity or 145 kWh a day of gas, you pay 5% VAT and no CCL at all. The calculator applies whichever is right for the usage you enter.

Will I be charged for leaving, and how long does it take?

No charge. Default rates have no fixed term and no exit fee — the one advantage they have. You can leave as soon as a new contract is ready to take over.

On timing, most people are working from how switching used to be. Under Faster Switching — the industry rules that replaced the old multi-week process — a change of supplier can usually complete within five working days once the new contract has been accepted and registered. If you stay with British Gas Business and simply move onto one of their fixed prices, there's no switch to process at all and it can often be done the next day.

The realistic delays aren't the switch itself: an outstanding balance or an unregistered change of tenancy can trigger an objection. Both are worth checking before you're relying on a start date.

What does Smart Energy charge?

Our commission is included in the price and disclosed before you sign anything. We apply the same agreed commission across every supplier we compare, so we have no incentive to recommend one over another.

Can you get me back onto a fixed price with British Gas Business?

Yes. We're not trying to move you for the sake of it — if their fixed price is the best available for your supply, staying put is the fastest route anyway, because it can be done the next day rather than in five.

Two minutes

Let's see what you should be paying

A few questions, and only the ones that apply to you. No obligation, and we'll tell you if you're already on a good rate.

Step 1 of 5

What can we do for you?

This changes what we ask next.

Rates shown are British Gas Business's published charges effective 24 May 2026 and exclude VAT and CCL. The supplier can vary or withdraw them on notice. The calculator produces an estimate from the figures you enter — an actual bill depends on metered consumption, meter type and any charges billed outside the published schedule. It is not a quotation. We are not affiliated with British Gas Business; their name and logo are used to identify the supplier this page is about.