What do UK business electricity prices mean for EV charging?
DESNZ reports an average non-domestic electricity price of 24.51p/kWh including Climate Change Levy for the second quarter of 2026 [S1]. It is a historical UK benchmark, not a tariff available to every site. Compare written offers using your consumption, standing charges and contract terms before budgeting for EV charging. Checked October 2026.
What UK businesses pay per kWh for electricity in 2026 varies by consumption band and contract. DESNZ’s non-domestic average for the second quarter is 24.51p/kWh including Climate Change Levy; it is a historical benchmark, not a current offer [S1]. Use the business electricity price data to identify the relevant consumption band before budgeting for your site.
What is the average business electricity price per kWh?
The official UK non-domestic benchmark for the second quarter of 2026 is 24.51p per kilowatt hour, including Climate Change Levy (CCL). DESNZ reports a 2.0% increase against the same quarter a year earlier [S1]. This covers businesses and other non-domestic users, rather than just small commercial charger sites.
A kilowatt hour (kWh) measures energy. Kilowatts (kW) measure power. To estimate electricity expenditure, multiply energy by price; do not multiply the charger’s nameplate power by a tariff and call the result an annual bill. Start with the kW and kWh guide if your quote mixes those units.
| Benchmark detail | What it means |
|---|---|
| UK non-domestic average | A broad comparison, not your offer |
| Second quarter of 2026 | A historical consumption period |
| 24.51p/kWh including CCL | Do not add the levy twice |
| Different consumption bands | Compare a band relevant to your site |
The benchmark details above come from DESNZ [S1]. For a decision, put the relevant source period next to your supplier’s offer date. A historical national average and a live fixed-rate offer describe different things.
Are today’s small business electricity rates the same as the average?
No single live rate follows from the official average. DESNZ explains that contracts renew at different times, so wholesale changes reach non-domestic customers unevenly [S1]. This guide does not present an unverified nationwide “today” price or a supplier ranking.
For your comparison, request the same start date, consumption profile and contract length from each bidder. Include your existing bill, expected charger use and any planned change to operating hours. Mark forecasts as forecasts rather than disguising them as metered consumption.
Ask bidders to return the total annual cost on those inputs. Where an offer is conditional, keep that condition beside the price. A useful comparison should let your reviewer explain why a lower unit rate produces a higher total bill, rather than simply highlight the smallest headline number.
How do standing charges change your charging cost?
Use an annual comparison that includes energy, daily fixed charges and any separately quoted items. Ofgem’s contract guidance distinguishes unit rates and standing charges [S2]. The following inputs are assumptions, not current market offers. They exclude VAT, CCL and other charges so you can see the arithmetic clearly.
| Assumed offer | Unit rate | Standing charge | Cost at 20,000 kWh/year |
|---|---|---|---|
| A | 24p/kWh | £2/day | £5,530 |
| B | 26p/kWh | £1/day | £5,565 |
Offer A is 20,000 × £0.24 + 365 × £2 = £5,530. Offer B is 20,000 × £0.26 + 365 × £1 = £5,565. At an assumed 5,000 kWh, the same calculations give £1,930 and £1,665 respectively. The smaller user would therefore prefer a different offer on these limited assumptions. Recalculate with your actual bill components.
For chargers on your existing supply, separate additional project costs from costs your business already pays. For a new supply, include the new standing charge in the project budget. Avoid loading the entire site’s fixed cost onto charging and then counting it again in the underlying business budget.
Which business electricity tariff terms should you compare?
Ofgem distinguishes fixed, variable, deemed and other contract types. A fixed-rate contract fixes its unit and standing prices; a variable contract can change. Moving into premises without arranging a contract can put you on deemed rates [S2]. Read the written scope before assuming every charge is fixed.
Use a comparison sheet with a separate row for each uncertain item. Ask whether network, capacity, metering or other charges are included or passed through. Require the bidder to identify how each variable item is calculated. Do not accept an unexplained “all in” label as the answer.
Check your notice period, renewal route, volume assumptions and treatment of a new charging load. These are questions to resolve in the actual offer. Ask your solicitor to review unclear obligations before accepting contract terms, particularly where site ownership or tenancy may change.
Does the energy price cap protect your business?
Ofgem’s domestic price cap does not cover business energy contracts [S3]. Keep household comparisons out of your commercial procurement sheet. A home EV tariff is not evidence that the same rate is available to a pub, hotel or depot supply.
For Northern Ireland, use the Utility Regulator’s local framework. Its code for business bills and statements sets requirements for billing information [S5]. Request a local offer and the applicable terms rather than assuming a Great Britain contract description establishes your rights there.
CCL is another item to check. HMRC publishes the levy rates by effective period [S4]. Ask your accountant to confirm treatment and any relief relevant to your business. Record whether your inputs include VAT and CCL before combining them with installation or charging-income figures.
Will business electricity prices fall, and how should you budget?
The opened sources do not establish your next renewal price. Keep a range of assumed import rates in your budget and replace them with written offers when available. Do not turn a wholesale-market headline into a promised reduction on your own bill.
For illustration, 30,000 kWh of annual charging at assumed energy prices of 20p, 25p and 30p costs £6,000, £7,500 and £9,000 before other items. A 5p movement changes that energy cost by 30,000 × £0.05 = £1,500. This is sensitivity arithmetic, not a price forecast or a savings claim.
Use it alongside the public charging price guide and business-case template. Keep retail charging receipts, supply cost and operating expenses separate so you can see what remains after each cost.
What should you do next?
Prepare your consumption record, renewal terms and assumed charging profile before requesting installation options. Then get matched with an installer that covers your area.
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Common questions
What do UK businesses pay per kWh for electricity in 2026, by size of business?
DESNZ reports 24.51p/kWh including CCL across non-domestic users for the second quarter of 2026 [S1]. Use the [price data](/data/business-electricity-prices/) for consumption-band context; the average is not your tariff.
Is a broker's commission part of the electricity comparison?
Ofgem says brokers may charge upfront or receive supplier commission. Ask for the charge and comparison coverage in writing before accepting an offer [S2].
What happens if your business contract expires without a new agreement?
Ofgem says some suppliers move customers to out-of-contract rates, usually more expensive than fixed-term rates. Check your end date and renewal terms before expiry [S2].
Do Northern Ireland business bills use Ofgem's consumer guidance?
Use Northern Ireland's Utility Regulator for the applicable local framework. Its business billing code specifies requirements for the content and format of energy bills and statements [S5].
Should Climate Change Levy be added again to the official average?
No. The 24.51p/kWh benchmark quoted here already includes CCL. Compare like-for-like figures and check whether a supplier's quoted unit rate includes the levy [S1].
Does the domestic cap limit your total annual bill?
No. Ofgem describes limits on applicable unit rates and standing charges, rather than a total-bill limit. It also excludes business contracts from that domestic protection [S3].
Ask about your site
Sources
- Quarterly Energy Prices September 2026, Department for Energy Security and Net Zero,Last checked 16 October 2026
- Get a business energy contract, Ofgem,Last checked 16 October 2026
- Energy price cap and standing charges explained, Ofgem,Last checked 16 October 2026
- Climate Change Levy rates, HMRC,Last checked 16 October 2026
- Codes of Practice for energy customers, Utility Regulator,Last checked 16 October 2026