In short
Business gas comparison means asking several suppliers to price the same gas supply, then comparing the unit rate and standing charge on your own annual consumption, the contract length, what is fixed, end-of-term terms, VAT, Climate Change Levy and any green gas option. Forever Communications works as an agent of Fidelity Energy, which compares 24+ suppliers (its figure).
Want help weighing it up?
Tell us about your premises, usage and renewal dates and we will explain which option fits, and why.
How business gas comparison works
Like business electricity, business gas has no published tariff that applies to everyone and is not covered by Ofgem's energy price cap. Each supplier prices your business on its own terms, using your annual consumption, the number and size of your sites, the contract length you want and your credit position.
Forever Communications works as an agent of Fidelity Energy, an independent business energy broker and consultancy that says it compares 24+ suppliers. That is a broad panel, not every supplier in the market. Here is how a gas comparison works with us:
- You share a recent gas bill for each site, your annual consumption and your current contract end date. The meter point reference number (MPRN) is on your gas bill; our sister site Business Gas and Electric explains business gas meters and bills.
- Fidelity Energy asks the suppliers on its panel to price your gas. Quotes are based on the information supplied, and Fidelity Energy's terms allow quotes to be revised or withdrawn.
- We help you compare the quotes like-for-like: unit rate, standing charge, term, what is fixed, green options and end-of-contract terms.
- You choose, and the supplier decides whether to accept. Under Fidelity Energy's terms, accepting a quote is a binding offer to the supplier, which can still accept or refuse it.
If you want to compare electricity at the same time, see business electricity comparison. The checklist in business energy quotes covers both fuels.
What to compare on a business gas quote
| What to compare | What to look for |
|---|---|
| Unit rate (pence per kWh) | The price for each kWh of gas. Higher users feel small differences most. |
| Standing charge (pence per day) | A fixed daily charge whatever you use. For low or seasonal users it can be a large part of the bill. |
| Contract length and start date | How long prices are fixed and whether the start date follows on from your current contract. |
| What is fixed | Whether the unit rate, standing charge and any non-energy charges are fixed for the term, or can change. |
| Consumption basis | Whether every quote uses the same annual consumption figure. A quote priced on a lower figure can look cheaper on paper. |
| Green gas option | Whether any green gas is backed by biomethane certificates, and for what share of your supply. |
| VAT and Climate Change Levy | Which VAT rate the supplier expects to charge and whether the Climate Change Levy applies. |
| Broker commission | Whether broker costs are included in the rates. Suppliers must show them in the contract's principal terms. |
| End-of-term terms | What happens if you do nothing: rollover onto a new fixed term, or out-of-contract rates. |
For why the lowest unit rate does not always mean the lowest cost, see our guide to finding the cheapest business energy contract.
Not sure which option suits you? Ask us
Tell us about your premises and usage and we will explain the options that fit.
Unit rate, standing charge and your annual consumption
A business gas quote has the same two main parts as electricity: a unit rate for each kWh and a standing charge for each day. Your gas meter measures the volume of gas, and your bill converts that into kWh, which is the unit suppliers price in.
To compare two quotes fairly, use the same annual kWh figure for both:
- annual unit cost = unit rate x your annual kWh
- annual standing cost = standing charge x 365 days
- add the two, then multiply by the number of contract years for the term cost
Gas use is often seasonal. A business that heats its premises may use most of its gas in the winter months and very little in summer. Using a full year's consumption, not a winter or summer bill alone, gives a fairer annual figure. If your bills are estimated, give actual meter readings where you can so suppliers price what you really use.
Our sister site Business Gas and Electric explains business gas tariffs, standing charges and meters in plain English.
Fixed or flexible gas contracts
Most smaller gas users choose a fixed contract. Ofgem describes fixed-rate contracts as fixing the unit rates and standing charges for the length of the contract; read the terms to see whether any other charges can be passed through.
Large gas users may consider flexible or structured buying, where gas is bought in portions over time rather than priced on one day. Ofgem describes these contracts as suitable for large businesses that use a lot of energy. Fidelity Energy offers flexible procurement run by its in-house traders, as well as fixed contracts, with ready-made flexible strategies from 100,000 kWh a year per utility. Flexible buying trades budget certainty for more exposure to market movements, so it suits businesses that can manage that risk.
Our guide to fixed vs flexible business energy sets out who each approach tends to suit.
Want this looked at for your premises?
Tell us your sites, meters and renewal dates and we will reply by email with options.
VAT and the Climate Change Levy on business gas
Gas used for business purposes is normally charged VAT at the standard rate of 20%. HMRC allows the reduced rate of 5% for qualifying use, which includes domestic use, use by a charity for non-business activities, and small (de minimis) gas supplies of no more than an average of 145 kWh a day or 4,397 kWh a month to one customer at one premises. If 60% or more of a supply is for qualifying use, the whole supply is treated as qualifying; otherwise it is split between the two rates.
The temporary zero rate of VAT that runs from 1 October 2026 to 30 June 2027 applies to qualifying electricity in Great Britain only. Qualifying gas stays at the reduced rate, and business use of gas stays at the standard rate.
The Climate Change Levy applies at the main rates to gas supplied to businesses and is shown on your bill. It is not charged on some supplies, for example to businesses using small amounts of energy, domestic users and charities using energy for non-commercial activities. Energy-intensive businesses with a Climate Change Agreement pay a reduced rate. Rates change on 1 April each year, so check GOV.UK's Climate Change Levy rates for the current figures.
See VAT and Climate Change Levy for a fuller explanation, and energy for charities if you buy for a charity.
Green gas options
Green gas for businesses is usually offered by matching some or all of your gas use with certificates from biomethane producers. Fidelity Energy describes biomethane (green gas) as a direct substitute for fossil gas produced from organic waste. It says its green gas is backed by biomethane certificates (RGGOs) and that you can choose the share of your gas that is covered.
Before paying for a green gas option, ask:
- What certificates back the green gas, and what share of your supply they cover
- Whether the supplier will confirm the green content in writing for your reporting or tender returns
- How the price compares with a standard quote for the same term
- Whether anything else in the contract changes when you choose the green option
VAT and the Climate Change Levy are worked out under their own rules, so check how each quote shows them. Our green business energy guide covers green electricity and gas together.
What you need for a business gas quote
- A recent gas bill for each site, showing the meter point reference number (MPRN)
- Your annual gas consumption in kWh, ideally from a full year of bills or your supplier
- Recent actual meter readings if your bills are estimated
- Your current contract end date and any notice terms
- Your business details for the supplier's credit check
- For several sites, a list of sites and their end dates
Ofgem treats a business as a microbusiness if it has fewer than 10 employees and an annual turnover or balance sheet of no more than 2 million pounds, or if it uses no more than 293,000 kWh of gas (or 100,000 kWh of electricity) a year. Microbusinesses get extra protections, explained in microbusiness energy rules and our small business energy comparison guide.
Gas and electricity together
Many businesses buy gas and electricity at the same time. You do not have to take both from the same supplier: comparing each fuel on its own merits, then deciding whether a combined deal adds anything, keeps the comparison honest. Lining up the end dates of your gas and electricity contracts can make future renewals simpler. Dual fuel as a product is explained on Business Gas and Electric.
When to compare, and what to check before you agree
Most fixed gas contracts have a switching window that opens a few months before the end date. If you are on deemed rates, for example after moving into new premises, or on out-of-contract rates or a rolling contract, Ofgem says you can usually switch at any time. See business energy contract renewal, business energy change of tenancy and how to switch business energy supplier.
There is no business energy cooling off period once you agree a contract, so check the term, fees, end-of-term terms and the broker costs in the principal terms first. Fidelity Energy is normally paid commission by the supplier, included in your rates, and Forever Communications receives a share; see energy broker fees. Fidelity Energy is on the Energy Ombudsman's broker register, the kind of approved redress scheme Ofgem says supplier-paid brokers must belong to; see energy broker ombudsman.
Contact us with a recent gas bill and your contract end date, and we can arrange quotes from Fidelity Energy's panel.
How Forever Communications helps with business energy
Forever Communications is part of Forever Group, which looks after phone systems, business mobiles and connectivity for UK organisations. For business electricity and gas, we work as an agent of Fidelity Energy, an independent business energy broker that prices your requirements across its panel of suppliers. We are not an energy supplier, and neither is Fidelity Energy.
- Like-for-like quotes: we help you gather your bills, meter details and contract end dates so suppliers quote on the same basis
- Plain-English terms: we can talk you through unit rates, standing charges, contract length, renewal and the broker commission included in the price before you decide
- Better timing: we help you plan a renewal ahead of your contract end date, or move off deemed and out-of-contract rates
- More than the basics: Fidelity Energy also offers green (REGO-backed) electricity, flexible procurement, half-hourly supplies, multi-site contracts and bill validation
- Your choice: you decide which quote, if any, to accept; prices are set by the suppliers and confirmed at quote
We work with businesses, charities, hospitality, farms and multi-site organisations. Send us a recent bill and we can take it from there.
Frequently asked questions
How do I compare business gas prices?
Ask several suppliers to quote on the same annual consumption, sites, start date and contract length. Compare the unit rate and standing charge together on your own usage, then check what is fixed, green gas options, VAT and Climate Change Levy treatment, broker commission and what happens at the end of the term.
What VAT do businesses pay on gas?
Business use is normally charged at the standard rate of 20%. Qualifying use, including small de minimis supplies of up to 145 kWh a day or 4,397 kWh a month, domestic use and charity non-business use, is charged at the reduced rate of 5%. The temporary zero rate from 1 October 2026 covers electricity only, not gas.
Do I have to get gas and electricity from the same supplier?
No. You can have gas and electricity from different suppliers. Comparing each fuel separately and then looking at any combined offer helps you see whether a single supplier adds anything.
What do I need for a business gas quote?
A recent gas bill for each site showing the MPRN, your annual consumption in kWh, actual meter readings if your bills are estimated, your contract end date and your business details for the supplier's credit check.
Is there a price cap on business gas?
No. Ofgem's energy price cap protects households on standard variable tariffs. Business gas contracts are not covered, which is why comparing before your contract ends matters.
Still deciding?
Ask us and a member of our team will reply by email with a straight answer.