Businesses across the UK have been eagerly waiting for further updates regarding support with energy bills. Today the government announced energy bill relief scheme.

Last week’s announcement by the Government loosely mentioned “equivalent support” for non-domestic energy but didn’t provide any further detail.

Today, the Government elaborated on their previous comments, announcing the Energy Bill Relief Scheme to slash energy prices for non-domestic energy customers.

energy bill relief scheme blog

What does the energy bill relief scheme entail? 

According to Department for Business, Energy and Industrial Strategy (BEIS);

  • The scheme will run for 6 months covering energy used from 1 October 2022 to 31 March 2023.
  • If you’re on a fixed price contract agreed after 1 April 2022 a price cut will automatically be applied to your business energy bills.
  • You may be able to save more by moving to a new fixed-price contract for the duration of the scheme.
  • The government has set a Supported Wholesale Price – expected to be £211 per MWh for electricity and £75 per MWh for gas.
  • The savings will be first seen in October bills, which are typically received in November.

Who is eligible for the energy bill relief scheme?

The Government has made it clear that the energy bill relief scheme will be available to everyone on a non-domestic contract, including:

  • Businesses.
  • Voluntary sector organisations, such as charities.
  • Public sector organisations such as schools, hospitals and care homes.

energy bill relief scheme blog

What do I need to do?

As a business, you don’t need to apply for this scheme or take any action to access the support.

The discounts will be automatically applied to business energy bills.

If you’re on default or variable tariff, your prices will be automatically cut, but you may be able to save more by moving to a new fixed price contract. 

What has been said today?

Truss said the Government understood 

“The huge pressure businesses, charities and public sector organisations are facing with their energy bills”.

“As we are doing for consumers, our new scheme will keep their energy bills down from October, providing certainty and peace of mind,”.

Mr Rees-Mogg explained the non-domestic market is more complicated with different contractual arrangements.

“What we needed now, immediately, quickly was something simple that would give people confidence through the winter,” he said. “It’s essentially recognising that there’s an urgent problem now.”

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