Don’t be caught out by rising energy prices

We at Spiral have long been preaching about the importance of having a competitive deal for your business energy supplies.

As a result, many of you have taken up our advice and, with our help, have secured competitive deals on contracts ranging from one to five years.

But if your energy contract is due for renewal in the next few months, have you considered the impact that a new deal will have on your business?   

Wholesale energy prices have increased by over 25% since the beginning of 2008, and with further increases forecast, there is little chance of that trend changing for the time being. 

The issue is that, for many businesses, the anniversary of an energy contract could signal a dramatic and possibly unexpected increase in an essential business cost – just at a time where the economic downturn means that companies are under greater pressure than ever to keep costs down.  

So, if you have been in contract for the past two years or more, and your contract is due for renewal soon, be warned – you face a noticeable increase in price, no matter which supplier you use.

But what can you do to minimise that impact?  It’s a serious issue for businesses at a difficult time, but there are steps that can be taken to ensure you secure the best deal available. 

First, make sure you know when your energy contract is due to expire, and if you don’t know, ring your provider without delay.  When speaking to them, don’t forget to check with them what the notice period is, as this varies depending on the provider.

To be on the safe side it’s worth assuming that a minimum of three months notice needs to be given if you intend moving the supply, and you can, of course submit this notice letter at any time.  Sending a notice letter doesn’t actually commit you to anything, but simply gives you the freedom to move if you find a better deal elsewhere. 

Next, when you receive your renewal offer price from your existing supplier, send the details across to us here at Spiral.  As ever, we will use our network of providers to ensure that we obtain the most competitive quote prices on the market for you, and leave you to select the contract length that suits you best.

If you have any questions on the contract renewal process for your energy supplies, don’t hesitate to contact us.