Business Energy Broker

What Does a Business Energy Broker Do?

Business energy doesn’t work like a household tariff. There’s no price list to look up: suppliers price each site on its usage, its meter and the contract length you want. That’s where we come in. We find you a contract that suits your business, then negotiate with the supplier you choose, so you can get on with running your business.

Where we can, we gather your meter details, usage and contract end dates before we ask any supplier for a price, because suppliers almost always need them and you get more accurate prices as a result. Then we compare prices from suitable suppliers for your sites and present you with the most suitable options for you, so you’re choosing between real options rather than weighing up one headline rate.

The cheapest-looking unit rate isn’t always the cheapest contract. A higher standing charge, a different contract length or a pass-through structure can change the total cost a long way, so we look at the whole contract, whether it’s your business electricity prices, your business gas prices or your business water.

Why Timing Matters

Leave a renewal to drift and you’ll usually end up on out-of-contract rates, which cost more than a fixed-term contract. That’s why we always advise arranging your next contract as early as possible, normally 12 months before your renewal date. Starting early lets you take advantage of forward pricing, rather than taking whatever’s on offer when there’s only a month or two left. If your energy contract is ending sooner than that, don’t worry: we’ll get it arranged as early as we still can.

How Are Energy Brokers Paid?

Most energy brokers are paid a commission by the supplier you choose, and a few charge an upfront fee instead. With commission, the broker’s fee is built into the prices on your contract and collected through your energy bill, rather than invoiced to you separately. It’s based on how much energy you’re expected to use, which is one more reason we get your usage figures right before we ask anyone for prices.

We’re paid by commission. You don’t pay us a separate fee: the supplier pays us, and our commission is included in the rates and charges in your supply contract. We disclose our commission in full, in writing, before a contract is signed, so you make your decision knowing exactly what we earn.

Will I Know What My Broker Earns?

You should, and with us you always will. As of October 2026, Ofgem doesn’t license energy brokers, but for contracts signed from 1 October 2024, any broker fee collected through your bill has to be shown in your contract’s principal terms, whatever the size of your business. Your supplier also has to give you the fee information if you ask for it.

If something ever goes wrong, small businesses have somewhere independent to turn. Since December 2024, suppliers can only work with brokers that belong to a redress scheme when they’re arranging small business contracts. For our energy customers, that’s the Energy Ombudsman: we’re members of an alternative dispute resolution scheme with them. We’re also members of the Energy Consultants Association (ECA), which is a trade association rather than a redress scheme.

More regulation is on the way. As of October 2026, the government intends to appoint Ofgem as the regulator for brokers, and we’re already part of that conversation. You can read more in Ofgem’s plans to regulate energy brokers.

Questions to Ask Any Energy Broker

Before you go ahead with any broker, ask them these five questions. Here are our answers.

• Which suppliers will you approach for prices? The ones best suited to your business. Suitability comes down to price, availability, your industry and your credit position, and a supplier that’s happy to give a price won’t always accept the contract. Our Energy Experts deal with that every day, so the options we bring you are ones that work.
• How many price offers will you give me? A shortlist of the right options for your business, in writing, not a single take-it-or-leave-it quote.
• What will you do to help me switch supplier? We do the leg work: we gather your data, get the prices and arrange the contract you choose. Our Letter of Authority (LOA) lets us help you, not make decisions for you. Help with your contracts, bills and supplier queries: yes. Enter into a contract on your behalf: no. Some brokers ask for a “level 2” LOA that lets them sign contracts for you. Ours is a level 1 LOA, so only you can agree a contract.
• What services will you provide during the contract? We offer bill validation to all our customers, checking bills against the agreed rates and recorded consumption and taking any errors up with the supplier. We help with billing and meter issues, you have a dedicated customer service team to call on, and our dedicated retentions team handles your renewal reminders and timetables.
• How will I be charged, directly or indirectly? Indirectly. You don’t pay us a separate fee. We’re paid commission by the supplier, and it’s included in the rates and charges in your supply contract. We tell you exactly what that commission is, in writing, before you sign.

A good broker answers all five without hesitation. You make the decision and sign the contract, and we look after everything else.

Why Choose Black Sheep Utilities?

• The right options for you: we compare prices from suitable suppliers for your sites and present the options that suit you best.
• The groundwork done for you: where we can, we gather meter details, usage and contract end dates first. A recent bill for each site is enough to get started.
• Renewals planned early: we’ll start on your next contract as early as possible, normally 12 months before your renewal date, and plan it around your sign-off or meeting dates if you ask.
• Support through your contract: our bill validation checks each bill against your agreed rates and recorded consumption, and our customer service team helps with any billing or meter issues along the way.
• Every site in one place: we keep every contract end date on record and can link related companies and billing entities, so a portfolio is managed together.
• A voice with the regulator: we sit on the Ofgem TPI (third-party intermediary) working group and meet them regularly.

Whether you’re new to using a broker or thinking about changing yours, we’re happy to talk it through. No pressure, just straightforward advice. Book an appointment with our Energy Team or call us on 01273 914000.