Spa energy suppliers, tariffs and costs

Running a successful spa business involves creating a relaxing and comfortable environment for clients, which often requires significant energy use. From powering heating systems to maintain water temperatures in hot tubs and saunas, to ensuring a soothing ambiance with lighting and music, energy consumption can be substantial. Understanding the unique energy needs and savings opportunities in a spa setting is crucial. With numerous treatments and amenities demanding power, spa owners must consider both efficiency and sustainability while managing operational costs. Comparing business energy tariffs can help spa businesses find solutions tailored to their specific energy consumption patterns.

How much does energy cost for a spa?

There is no published price list for spas. What a spa pays depends on how much it uses in a year, when it agreed its contract and for how long, wholesale prices at that time, the standing charge, meter type, payment method and credit history. The most recent government figures, for the second quarter of 2026 (April to June, provisional), put the average price paid by UK non-domestic customers at 24.51p per kWh for electricity and 5.28p per kWh for gas, including the Climate Change Levy and standing charges and excluding VAT. A year earlier the averages were 24.03p and 5.31p. Smaller users typically pay more per unit: businesses using under 20,000 kWh of electricity a year averaged 38.36p per kWh, and those using under 278,000 kWh of gas averaged 9.31p 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 29 September 2026. Q2 2026 figures are provisional; next update 17 December 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, and not comparable with a supplier’s unit rate.

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 for a rough benchmark. A site using 15,000 kWh of electricity a year sits in the very small band: 15,000 × 38.36p is about £5,750 a year, or roughly £480 a month before VAT. A site using 60,000 kWh of gas a year: 60,000 × 9.31p is about £5,590 a year, or roughly £465 a month. The bands are statistical groupings used by the government, not supplier price breaks, so treat them as a guide to what similar-sized sites paid rather than a price you will be offered. To judge an actual quote, compare its total annual cost (unit rate × your annual kWh, plus the daily standing charge × 365) with what you pay now.

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. From 1 October 2026 to 31 March 2027, electricity that qualifies for the reduced rate is charged at 0% VAT instead of 5% in England, Scotland and Wales; qualifying gas stays at 5%, qualifying electricity in Northern Ireland stays at 5%, and electricity returns to 5% from 1 April 2027. HMRC has not changed which supplies qualify or the certificate process; the same rules decide whether a supply gets 0% or 20%. Where a site is mixed, 60% or more qualifying use means the whole supply gets the reduced rate; 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), gov.uk VAT rates and HMRC Revenue and Customs Brief 10 (2026).

Do Ofgem’s microbusiness protections apply to spas?

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 spas 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 spas?

There is no single answer. Suppliers price business contracts individually rather than publishing standard tariffs for spas, so the cheapest supplier for one business is often not the cheapest for the next: each prices on the consumption, 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 what happens when the contract ends before signing.

How spas use energy

Spa businesses typically have a unique energy usage profile due to the variety of services offered. Energy is consumed continuously to maintain the comfort and satisfaction of clients. This includes the use of hot water for baths and treatments, heating systems for saunas, as well as lighting and music systems to create a calming atmosphere. The energy demand can fluctuate based on the number of clients and the types of services provided. Efficient management of energy use is essential to ensure a sustainable and cost-effective operation.

What affects energy bills for spas

Several factors can impact the energy costs for spa businesses:

• Operating hours: Longer hours of operation can lead to higher energy consumption.
• Type of equipment: Older or less efficient equipment can increase energy usage.
• Seasonal demand: Energy needs may vary with seasons, particularly for heating and cooling.
• Number of clients: More clients can lead to increased use of facilities and higher energy use.
• Building insulation: Poor insulation can lead to higher heating and cooling costs.

How to compare tariffs

When comparing energy tariffs for a spa, consider the following checklist:

• Review your current energy usage and patterns.
• Identify peak energy usage times and needs.
• Check for tariffs that offer off-peak rates if applicable.
• Evaluate the benefits of fixed versus variable rate plans.
• Consider green energy options to enhance sustainability.
• Look for providers offering tailored business packages.

Gas or electricity: what matters most

For spas, electricity is generally more critical due to the need for lighting, pumps, and other electrical equipment. However, gas may also play a significant role, particularly in heating water for pools and saunas. Balancing the use of gas and electricity efficiently can help control costs and ensure the spa runs smoothly. Understanding the specific energy needs of your spa can guide decisions on energy sources and tariff choices.

How switching works

The process of switching energy suppliers for your spa can be simple if approached methodically:

1. Gather your current energy usage data and contract details.
2. Research and compare available energy tariffs and suppliers.
3. Contact your chosen new supplier to initiate the switch.
4. Provide any necessary documentation or readings.
5. Wait for the transition period to complete, ensuring no disruption to service.

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.

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