Contract renewal planner

Why the end date matters more than the price

A business that compares in good time chooses between offers. A business that misses its date takes whatever it is given. When a fixed contract ends without a new one in place, you move onto out-of-contract rates, a rollover contract or deemed rates, depending on your terms. All three are usually far more expensive than a contract you agreed in advance.

The date is on your bill and in your contract. Put it in a shared calendar, not one person's inbox, with a reminder six months before. It is the single most valuable thing on this page.

When suppliers will quote

Most suppliers will quote for a contract with a future start date, commonly up to 12 months ahead, so you can agree a price now that begins the day your current deal ends. Your supply is unaffected in between and there is no gap.

Three to six months out suits most businesses: far enough ahead that you have real choice, close enough that quotes reflect the market you will actually buy in. Prices move daily with the wholesale market, so check which way it has been going before you fix, and read when to switch for the trade-offs.

Notice periods, and who they apply to

Some business energy contracts require written notice before the end date, and missing that window can roll you into another term. Microbusinesses have stronger protections: a supplier cannot use a notice requirement to stop a microbusiness leaving at the end of a fixed term. If you are not sure whether you are a microbusiness, our guide to microbusiness energy rules sets out the thresholds.

Whatever your size, read the termination clause and send any notice in writing, keeping a dated copy. Rollover contracts explains what happens when notice is missed, and cancelling a contract covers leaving early.

If the date has already passed

Act today rather than at the next natural break. Out-of-contract and deemed rates can normally be left at any time, without an exit fee, so every week you stay on them is money you do not get back. Check which you are on:

• Out-of-contract rates apply when a fixed contract has ended and you have not agreed a new one.
• Deemed rates apply when you never agreed a contract at all, typically after moving into premises.
• A rollover contract is a new fixed term you were moved into automatically. This one may have an end date and an exit fee, so check the terms before you switch.

Renewal checklist

1. Find your end date and notice terms. Both are in your contract. Diarise the date and the notice deadline.
2. Pull your usage. Annual kWh, your meter numbers (MPAN, MPRN) and your current unit rate and standing charge.
3. Work out your all-in price. The cost calculator turns your rates into a single figure to compare against.
4. Compare on one day. Prices change daily, so quotes gathered a fortnight apart are not comparable.
5. Compare total cost, not the headline rate. The quote comparison calculator shows which of two offers is actually cheaper at your usage.
6. Check the terms behind the price. Contract length, any exit fee, volume tolerance and what the broker fee is. See contract terms to check.
7. Sign before the old contract ends, and give notice if your terms require it.

Renewal questions