British Gas Lite
British Gas Lite out-of-contract rates
When a fixed contract ends and nothing replaces it, your supply moves onto British Gas Lite's default rates. Here are the published figures, what they could cost your business a month, and how quickly you may be able to leave them.
What it's costing you a month
The published rates, plus the Climate Change Levy at 0.80p/kWh and VAT at whichever rate applies to a supply your size. Monthly, because that's how the bill lands.
Your annual usage is on your bill — shown as EAC for electricity, AQ for gas. A rough figure is fine.
Every rate on the plan
Taken from British Gas Lite's own document rather than averaged or estimated. All figures exclude VAT and CCL.
Electricity
Ex VAT & CCL| Applies to | Unit | Standing |
|---|---|---|
| Non half-hourly (profiles 01–04) | 40.65p | 203.88p /day |
| Half-hourly | Priced per site | |
Gas
Ex VAT & CCL| Annual usage | Unit | Standing |
|---|---|---|
| 0 – 73,199 kWh | 10.54p | 182.60p /day |
| 73,200 – 732,000 kWh | 9.09p | 842.57p /day |
| Over 732,000 kWh | Priced per site | |
Source: British Gas Lite, published rate schedule, prices from 24 May 2026. Charges can be varied or withdrawn by the supplier on notice.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.
- These are Variable Price Plan (deemed) rates — they apply automatically when a fixed product ends and no new one is agreed.
- British Gas Lite can change these charges with 30 days’ written notice.
- Gas above 732,000 kWh a year is priced site-specifically and is not covered here.
At 73,200 kWh the standing charge jumps
British Gas Lite 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 | 10.54p /kWh | £666 a year |
| 73,200 kWh and above | 9.09p /kWh | £3,075 a year |
The cheaper unit rate doesn't fully cover that increase until usage reaches roughly 166,000 kWh a year. Between the threshold and that point, a supply pays more overall than it would have done just under the threshold.
You can't choose your band. British Gas Lite 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 chargesFaster 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:
Staying with British Gas Lite
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.
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.
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.
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
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 Lite puts both onto the same default rates, so the figures above apply either way. The difference 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 40.65p/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 842.57p a day rather than 182.60p — £3,075 a year against £666. If your usage is between 73,200 and roughly 166,000 kWh, the higher band costs you more overall than the lower one would have, despite the cheaper unit rate. 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 0.80p/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 Lite 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 Lite?
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.
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.
Rates shown are British Gas Lite'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 Lite; their name and logo are used to identify the supplier this page is about.
