Thomas McGlynn • 14 November 2025

British Gas Out of Contract Rates (Effective October 2025)

British Gas Standard Variable Rates - Business Energy 2025
💼 Out of Contract Rates | Variable Price Plan

British Gas Standard Variable Rates 2025

Your business energy rates explained

If your fixed-rate contract with British Gas has ended and you haven't switched, you're on their Standard Variable Rate. Rates can change with 30 days' notice. Most businesses save up to 70% by locking into fixed rates.

Variable Pricing
📈 Rate Updates
💰 Save Up to 70%

What This Means for Your Business

If your fixed-rate contract with British Gas has ended and you haven't switched to a new supplier or plan, you're now on their Standard Variable Rate (SVR). This means your energy rates can change with 30 days' notice and aren't locked in like a fixed contract. Most businesses save up to 70% by switching to fixed rates at the right time.

💡 British Gas Lite Energy Rates

📅 Current Rates — From 1st April 2025
Energy Type / Band Standing Charge Unit Rate
⚡ Electricity (Non Half-Hourly, Profiles 01-04) 312.00p per day 25.14p per kWh
🔥 Gas (0–731,999 kWh/year) 461.00p per day 5.43p per kWh
🔥 Gas (732,000+ kWh/year) 5658.00p per day 5.15p per kWh

*Prices exclude VAT and Climate Change Levy (CCL). These are applied at prevailing rates. Profile classes 01–04 are standard for small-to-medium businesses with non-half-hourly meters.

📋 Key Takeaways

  • Your rates can change — they're not locked in and can shift with 30 days' notice
  • You're paying premium prices — standard variable rates are typically 10-30% higher than fixed deals
  • Electricity at 25.14p/kWh is significant — well above typical fixed-rate market prices
  • VAT and CCL apply on top — these vary by region and government rates
  • Most businesses don't realise the cost — locking in fixed rates could save thousands annually

💰 How Much Could You Be Overpaying?

Out-of-contract rates with British Gas Lite are premium prices with no price protection. Depending on your consumption, location, meter type, and the current market, you could be paying up to 70% more than a fixed-rate deal.

For example: A business on BG Lite's VPP could spend an extra £3,000–£8,000+ annually compared to locking a fixed rate today. The exact amount depends on your annual consumption (kWh), gas vs electricity split, location (DUoS charges), and current wholesale rates.

⚠️ Important: Actual savings vary significantly based on consumption bands, meter types (half-hourly vs non-half-hourly), regional charges, and current market rates. To get your personalised saving estimate, get a live quote comparing British Gas Lite's VPP against fixed-rate offers from our 28+ supplier partners.

You're Paying More Than Necessary

Standard Variable Rates are designed to increase over time — that's how suppliers protect themselves against market swings. If you've been on British Gas's SVR for more than a few months, you're almost certainly paying 20-50% more than businesses with comparable fixed-rate contracts. Rates can change with 30 days' notice, so the longer you wait, the more expensive it becomes.

Don't Wait — See Your Savings Today

Get a free, no-obligation comparison of fixed-rate quotes from 28+ suppliers. Find out exactly how much you could save by switching from British Gas Lite's VPP.

Get Your Free Quote

❌ Why Being on Standard Variable Rates Costs Thousands

When your British Gas fixed-term contract ends, you don't continue on the same rates. Instead, you're automatically rolled onto their Standard Variable Rate — which is significantly more expensive than current market fixed-rate deals.

No commitment = no incentive
Without a contract locking you in, they have no reason to offer competitive rates. They know most businesses won't act immediately or won't realise how much they're overpaying.

Customer inertia works in their favour
They bank on businesses staying put, especially those satisfied with the service or too busy to switch.

Rates can change at any time with 30 days' notice
Your standard variable rates aren't fixed and can increase based on market conditions — often with minimal warning.

For every month you wait, money drains away
Delaying 3–6 months on SVR can cost £500–£2,000+ more than if you'd locked in a fixed deal today.

💰 What Are You Actually Paying?

Enter your annual consumption to see your estimated monthly cost on British Gas's Standard Variable Rate. This includes all levies and VAT.

Find this on your latest bill

👆 Enter your consumption above to calculate

1

Get Your Usage Data

Check your latest British Gas Lite bill to find your annual consumption (kWh). This determines your rate band and helps compare suppliers accurately.

2

Get Fixed-Rate Quotes Through Us

Let us do the heavy lifting. We'll compare fixed-rate offers from 28+ suppliers against British Gas Lite's VPP and show you exactly what you could save.

3

Check Hidden Terms

Look for contract length, termination fees, auto-renewal clauses, and additional charges. Transparent suppliers outline all terms upfront.

4

Lock in a Fixed Deal Now

We'll handle the paperwork, contact British Gas Lite to arrange your exit, and ensure a smooth transition. Most switches complete in 2–5 days with zero disruption.

How Smart Energy Company Helps You Switch

1

Tell Us About You

Share your current energy usage or upload a recent British Gas Lite bill. Takes just 2 minutes.

2

We Compare 28+ Suppliers

Watson (our AI) analyses rates from all major UK suppliers to find your best fixed-rate match.

3

You Choose & Save

Review your options, select your preferred supplier, and see your potential annual savings.

4

We Manage the Switch

We handle all paperwork, contact British Gas Lite, and ensure a smooth transition with zero disruption.

Want to See How British Gas Compares?

Compare British Gas's rates and terms against other suppliers to see if they're the right fit for your business.

Compare All Suppliers →

Want More Details About British Gas?

View British Gas Profile →

Stop Overpaying on Out-of-Contract Rates

Get free, competitive fixed-rate quotes from 28+ UK suppliers. Compare your options, lock in the best price, and switch in days — not weeks.

❓ Frequently Asked Questions

How do I know if I'm on British Gas's Standard Variable Rate?

Check your latest British Gas bill for the tariff name. If it says "Standard Variable Rate" (SVR) or doesn't mention a fixed contract end date, you're on their SVR. You can also log into your British Gas business account online. If your contract ended and you didn't actively choose a new one, you've been automatically moved to SVR.

Can I switch suppliers while on British Gas's Standard Variable Rate?

Absolutely! Being on a standard variable rate means you're free to switch at any time with no exit fees or penalties. In fact, this is the perfect time to switch because you're not locked in. The switching process typically takes 2–5 days, and your energy supply won't be interrupted. Your electricity and gas flows through the same National Grid system, so you'll continue receiving power without any break.

How much could I save by switching from British Gas's SVR?

Most businesses save between 15-30% when switching from standard variable rates to a competitive fixed contract. In exceptional cases, savings can reach 50-70% depending on your consumption profile, meter type, and location. For a typical business, this translates to £2,000–£8,000+ per year. The exact savings depend on your usage, location, meter type, and current market rates. Get a live quote to see your personalised savings.

What happens if I don't switch? Can British Gas keep increasing my rates?

Yes. Standard Variable Rates are variable and can change with 30 days' written notice. There's no price protection, so British Gas can increase your rates whenever they choose (within Ofgem regulations). This is why staying on SVR long-term is risky — your costs could keep climbing without warning. Fixing a contract now removes this uncertainty and locks your rates.

Will my energy supply be interrupted when I switch?

No, your energy supply is never interrupted when switching suppliers. The switch happens behind the scenes through the National Grid system. You'll continue receiving electricity and gas without any disruption. The only changes you'll notice are lower bills and correspondence from your new supplier instead of British Gas Lite. You'll receive final bills and meter readings as part of the handover process.

How much does Smart Energy Company charge for this service?

We don't charge you anything. Our service is completely free. We're paid a commission by energy suppliers, which is fully declared in your contract paperwork. Here's why using us makes sense: we have access to wholesale base rates that suppliers don't offer when you contact them directly. This means we can often secure better deals than you'd get going to suppliers yourself — even with our commission included. Plus, we save you the time and hassle of contacting dozens of suppliers individually.

Ready to Stop Overpaying?

Switch from British Gas's Standard Variable Rate and lock in a fixed deal today. Get free quotes from 28+ suppliers with zero obligation.