Business energy broker
An energy broker gets business gas and electricity quotes for you and handles the switch. Here is how they work, how they are paid, and the questions to ask before you sign.
- Free to use: brokers are paid by the supplier
- Commission must be shown on microbusiness contracts
- Disputes can go to the Energy Ombudsman
What a business energy broker does
An energy broker, also called a business energy consultant or third party intermediary, works between your business and the energy suppliers. They gather quotes from the suppliers on their panel, explain the differences, recommend a contract and handle the paperwork. Good brokers also track your contract end date so you renew in time.
How brokers are paid
Most brokers are paid commission by the supplier, built into the unit rate you pay. Some larger-business brokers charge a fixed fee instead. Commission is not a reason to avoid a broker, but you should know what it is: under Ofgem's rules, it has to be shown on microbusiness contracts and bills.
Your protections
Suppliers may only work with brokers who belong to an independent dispute resolution scheme when dealing with microbusinesses, so you can take a complaint about a broker to the Energy Ombudsman. Microbusiness contracts come with a 14 day cooling-off period, and a supplier cannot require you to give notice that you intend to switch.
Questions to ask a broker
- Which suppliers did you compare for this quote?
- How much commission is included in this price?
- How long is the contract, and what are the exit fees?
- Are you signed up to the Energy Ombudsman scheme?
- Will you remind me before this contract ends?
Our service passes your enquiry to one independent broker. What they will need from you.
Questions businesses ask
What does a business energy broker do?
A broker compares gas and electricity contracts from the suppliers on its panel, recommends one, and handles the switch. Some also check bills, manage renewals and buy energy for larger users.
How are energy brokers paid?
Usually by commission from the supplier, built into the unit rate you pay. Some charge a fee instead. Under Ofgem rules, broker commission has to be shown on microbusiness contracts and bills.
Is it worth using an energy broker for a small business?
It can save time, and a good broker makes sure you renew before you fall onto out-of-contract rates. Check the commission included and which suppliers they compared.
Are energy brokers regulated?
Ofgem does not license brokers directly, but suppliers may only work with brokers signed up to an independent dispute resolution scheme when dealing with microbusinesses, so you can complain to the Energy Ombudsman.
What questions should I ask an energy broker?
Which suppliers did you compare? How much commission is in this price? How long is the contract and what are the exit fees? Are you signed up to the Energy Ombudsman scheme?
Contract ending soon?
Get quotes in now, before you are moved onto out-of-contract rates.
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