Plumbing business energy suppliers, tariffs and costs

For plumbing businesses, managing energy costs efficiently is crucial to maintaining a healthy bottom line. As plumbers often require the use of power-intensive tools and equipment, understanding energy consumption patterns can help in selecting the most cost-effective energy plan. Whether you're running a single-van operation or managing a larger team, optimizing your energy usage by choosing the right tariff can help reduce expenses significantly. The nature of plumbing work, which can involve travelling between sites and operating various machinery, means that energy needs can vary greatly. Being informed about your specific energy demands and the factors that influence energy costs can empower you to make smarter choices when it comes to selecting your business energy plan.

How much does energy cost for a plumbing business?

There is no published price list for plumbers. What a plumbing business pays is set mainly by how much it uses in a year, because suppliers price by consumption band, and then by contract length, meter type, payment method and credit history. The most recent government figures (first quarter of 2026, provisional) put the average unit price paid by UK non-domestic customers at 24.14p per kWh for electricity and 5.17p per kWh for gas, including the Climate Change Levy and excluding VAT. A year earlier the averages were 25.74p and 5.54p. The smallest sites pay the most per unit: businesses using under 20,000 kWh of electricity a year averaged 35.02p per kWh, and those using under 278,000 kWh of gas averaged 7.48p per kWh.

Source: Department for Energy Security and Net Zero, Prices of fuels purchased by non-domestic consumers in the UK (Quarterly Energy Prices tables 3.4.1 and 3.4.2), published 30 June 2026. Q1 2026 figures are provisional; next update 29 September 2026. Prices are fully delivered averages including the Climate Change Levy and all other elements except VAT, so standing charges are already spread across the units. Averages across every UK business in a band, not quotes.

Working out a monthly figure for your business

Take the annual kWh from your latest bill or annual statement, find the band above and multiply. A site using 15,000 kWh of electricity a year sits in the very small band: 15,000 × 35.02p is about £5,250 a year, or roughly £440 a month before VAT. A site using 60,000 kWh of gas a year: 60,000 × 7.48p is about £4,490 a year, or roughly £375 a month. Because the smallest band pays a much higher unit rate, a plumbing business that moves into the next band by growing, or that sits near a band boundary, can see its per-unit price change noticeably at renewal.

VAT and the Climate Change Levy on business energy

The prices above exclude VAT. Business energy normally carries VAT at 20% plus the Climate Change Levy (CCL). HMRC applies the 5% reduced rate, with no CCL, in three cases. First, low usage: supplies averaging no more than 33 kWh of electricity a day (1,000 kWh a month) or 145 kWh of gas a day (4,397 kWh a month) are treated as domestic use whoever the customer is. Second, fuel and power for domestic use, which HMRC defines to include homes providing care for the elderly or disabled, children’s homes, hospices and school or university residential accommodation. Third, a charity’s non-business activities. Where a site is mixed, 60% or more qualifying use means the whole supply is charged at 5%; below that the supply is split between the two rates, and the customer gives the supplier a certificate declaring the qualifying percentage. Source: HMRC VAT Notice 701/19 (sections 2.8, 3.2 to 3.5, 4.2 and 5.2, updated 5 February 2025) and gov.uk VAT rates.

Is a plumbing business a microbusiness?

Ofgem treats a business as a microbusiness if it has fewer than 10 employees (or their full-time equivalent) and an annual turnover or balance sheet total of no more than £2 million, or if it uses no more than 100,000 kWh of electricity or 293,000 kWh of gas a year. A business can be a microbusiness for one fuel and not the other. Independent plumbers that meet either test are covered by Ofgem’s microbusiness rules, which give extra protections around contract terms and renewals (Ofgem: get energy for your business).

Do business energy rates vary by region?

Yes. Part of every unit rate covers the cost of the local electricity distribution network, and Great Britain has 14 licensed distribution areas each with its own charges, so identical contracts are priced differently in, for example, the north of Scotland and London. DESNZ does not publish non-domestic prices by region, so regional figures quoted elsewhere are supplier or broker estimates rather than official statistics.

Which energy supplier is best for plumbers?

No supplier specialises in plumbers or publishes tariffs specific to them. The cheapest supplier for one business is often not the cheapest for the next, because each prices on the consumption band, meter type, contract length and credit profile in front of it. Compare the total annual cost of like-for-like contract lengths rather than the headline unit rate, and check the standing charge and any out-of-contract rate before signing.

Energy usage profile for Plumber

Plumbers typically experience energy usage that varies depending on the scale and type of projects they undertake. While the primary energy consumption comes from running office space and charging tools, site visits often require additional energy for power tools and machinery. This can lead to fluctuating energy demands, making it essential for plumbing businesses to find flexible energy plans that can accommodate such changes. Additionally, plumbers may need to consider energy sources for heating and hot water solutions during installations, which can further impact their overall energy profile.

What affects bills for Plumber

Several factors can influence energy costs for plumbing businesses, including:

• Frequency and duration of site visits.
• Type and efficiency of equipment used.
• Seasonal variations in energy demand.
• Office or workshop energy requirements, such as lighting and heating.
• Number of employees and their energy usage habits.

How to compare tariffs

When comparing energy tariffs, plumbers should consider the following checklist:

• Assess your average monthly energy consumption.
• Identify peak times of energy usage.
• Consider the benefits of fixed vs variable rate plans.
• Check contract lengths and any associated fees.
• Look for plans that offer flexibility for seasonal changes.

Gas vs electricity considerations

For plumbing businesses, both gas and electricity play crucial roles. Electricity is essential for operating power tools and office equipment, while gas may be used for heating and hot water solutions. The balance between gas and electricity usage will depend on the specific services offered and the equipment used. Understanding this balance can help in selecting the most suitable energy plan.

Switching process overview

The process of switching energy providers for plumbers is straightforward:

1. Assess current energy usage and identify needs.
2. Research and compare available energy plans.
3. Select a plan that suits your business requirements.
4. Contact the new provider to initiate the switch.
5. Coordinate with your current provider to ensure a smooth transition.

More business energy guides

Return to our business energy hub to explore guides for other industries, or go directly to our business gas or business electricity pages.

Explore other industry guides

• Restaurant energy quotes
• Cafe energy quotes
• Pub energy quotes
• Hotel energy quotes
• B&B and guesthouse energy quotes
• Takeaway and fast food energy quotes