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Why don’t small businesses switch energy suppliers?

As an operator of a small business, you know every penny saved contributes to your bottom line. Yet 40% of businesses have not switched their energy supplier in the last five years, and 39% of small businesses have never switched.

Small businesses can spend a lot of energy with an average of £5,100 being spent on electricity and £4,100 on gas per year. Yet many companies can make huge savings that can be spent on business growth.

Why small businesses don’t switch energy suppliers

Here are some of the common reasons why small businesses are reluctant to switch energy suppliers.

1. They think it’s hard work

One of the main reasons businesses don’t even consider switching is because they think it’s a difficult process. But switching energy suppliers for a business is no more challenging than it is for residential customers, there’s just a little more information that’s needed.

Most of the process of switching energy suppliers is actually handled by the suppliers themselves. You won’t even notice the main switch.

2. They don’t think they can save

So many businesses think that because they’re being loyal to their current supplier that they’ll get a good deal. But industry experts have always found that those switching energy are the ones who will save the most money.

Loyalty doesn’t buy you special discounts. Instead, you need to look at offers that your current supplier’s competitors are offering.

3. Small businesses think that it’s hard to get quotes

One of the most common reasons why small businesses don’t look to switch energy suppliers is because they think it is hard to get quotes. If you went to every potential energy supplier then this might be true. However, you can use a business energy comparison website to compare quotes from numerous suppliers to find the best deal quicker.

This is a great time saver as it allows you to compare quotes side-by-side, and it means you’re just entering in your usage details once.

4. Business owners don’t know how much they spend

Sometimes business owners don’t know how much they are spending on energy. Therefore, they don’t feel that they need to invest time in finding a better deal. The trouble here, is that if a business owner doesn’t know how much they’re spending on the business’ energy, how do they know if they’ve got the best deal?

It’s always best to know exactly what the cost is of anything and especially on energy. Then, if you are spending a lot on energy, you can take steps to reduce it.


If you’re a small business owner who hasn’t switched energy supplier in a while, then you should be doing a few things, including:

• Check how much you’re spending on energy bills.

• Compare business energy suppliers to see if you can save.

• Switch to a better energy plan.

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