Energy is one of the few major business overheads you can actually do something about — and most London businesses aren't doing anything at all.

The average commercial energy contract rolls over automatically when it expires. That means thousands of London businesses are sitting on out-of-date tariffs, paying rates that were set years ago, with no idea that better deals are available right now.

If you run a retail shop, restaurant, office, warehouse, or any other commercial premises in London, this guide is for you.

Why Commercial Energy Bills Are Higher Than They Need to Be

Most business owners focus on the costs they can see — rent, wages, stock, marketing. Energy sits in the background, paid by direct debit, rarely questioned.

But commercial energy is a competitive market. Suppliers are constantly adjusting their rates, and the deal you're on today is almost certainly not the best available. The problem is that finding a better deal takes time, expertise, and access to the whole market — which most businesses simply don't have.

That's where commercial energy brokers come in. And it's why Olectrics has partnered with One Stop Business Energy (OSBE) to offer London businesses a completely free energy review.

Which Sectors Pay the Most for Commercial Energy?

Not all businesses use energy the same way. Some sectors have particularly high baseline consumption — which means the savings from switching are proportionally larger.

Retail and hospitality are among the biggest commercial energy users. Shops run refrigeration, lighting, and HVAC systems around the clock. Restaurants and hotels add commercial kitchens, laundry, and guest facilities on top. For these businesses, energy is often the second or third largest operating cost after rent and wages.

Offices and professional services have grown significantly as energy users over the past decade. Data servers, air conditioning, and the sheer density of devices in a modern office floor plate all add up — especially in London's large commercial buildings.

Manufacturing and industrial premises have the highest absolute consumption. Process heating, compressed air systems, and heavy machinery run continuously. Even a small percentage saving translates to a significant cash figure at this scale.

Healthcare and care homes run 24 hours a day, seven days a week. HVAC systems, medical equipment, and the need to maintain precise temperatures mean energy costs are both high and non-negotiable. Switching supplier doesn't change any of that — it just means you pay less for the same supply.

Logistics and warehousing have seen energy costs rise sharply as the sector has grown. Large floor plates, loading equipment, refrigerated storage, and EV charging infrastructure for delivery fleets all contribute to a growing energy bill.

If your business falls into any of these categories, there is a very good chance you are overpaying.

What Is Commercial Energy Switching?

Commercial energy switching is the process of moving your business from its current energy supplier to a new one offering better rates. It is entirely administrative — there is no physical work at your premises, no disruption to your supply, and no downtime.

The process works like this:

1. A broker compares the whole market on your behalf, using your current bill as a baseline.
2. They identify the best available rate for your usage profile and premises type.
3. If the new rate is better than your current one, they handle all the paperwork to switch you over.
4. Your supply continues uninterrupted. You simply start paying less.

The key word is "whole market." Most businesses only ever see the deals their current supplier offers them at renewal. A broker with access to the full commercial market can find rates that simply aren't available if you go direct.

The £100 Guarantee — What It Means for Your Business

One Stop Business Energy, our energy partner, offers something unusual in the commercial energy market: a £100 guarantee.

If they cannot find you a better rate than your current supplier, they will pay you £100.

This removes the only real barrier to getting a review done. There is no risk, no obligation, and no cost to you. The review takes around 10–15 minutes. You provide a recent energy bill and some basic details about your business. OSBE does the rest.

If they find a better deal — which they typically do — you decide whether to switch. If they can't beat your current rate, you receive £100 for your time.

The 24-Month Rate Lock

One of the most valuable features of the OSBE service is the ability to lock in your new rate for 24 months.

Energy prices are volatile. The past few years have demonstrated just how quickly commercial energy costs can spike. A 24-month rate lock gives your business certainty — you know exactly what you'll pay for energy over the next two years, which makes budgeting significantly easier.

For businesses operating on tight margins — retail, hospitality, food service — that certainty has real value beyond the headline saving.

How Much Could Your Business Save?

The honest answer is: it depends on your current tariff, your usage, and the market at the time of your review.

What we can say is that businesses switching through OSBE are typically saving in the region of 15% on their current bills. For a business spending £2,000 per month on energy, that's £300 per month — or £3,600 per year — back in your pocket.

For higher-consumption businesses in manufacturing, logistics, or healthcare, the absolute saving is proportionally larger.

The only way to know what your business could save is to get a review done. And with the £100 guarantee, there is genuinely nothing to lose.

Is Switching Right for Every Business?

Commercial energy switching is suitable for any business with a commercial energy meter. There are a few situations where it's worth being aware of the specifics:

If you're mid-contract, there may be exit fees to consider. OSBE will factor these into the comparison — if the saving over the new contract outweighs the exit cost, switching still makes sense.

If you're on a flexible or pass-through tariff, the comparison works slightly differently. OSBE has experience with all tariff types and will give you an accurate picture.

If you're in a managed building where energy is included in your service charge, you may not be able to switch directly. It's worth checking your lease — and if you can't switch, it may be worth raising the question with your landlord.

For the vast majority of London businesses with their own meter, switching is straightforward and the review is always worth doing.

Getting Started

Olectrics has been working with London businesses for over 10 years. We understand commercial premises — we've installed distribution boards, EV chargers, LED lighting systems, and full rewires in retail units, offices, restaurants, and industrial buildings across all 24 London boroughs.

The OSBE partnership is a natural extension of that. We're already in your building. We already understand your energy setup. And now we can help you pay less for the energy you use.

The review is free. The guarantee is real. And the process takes less time than your next team meeting.

Find out how much your business could save — book your free energy review today