Energy Costs, Winter Pressures and Hidden Commissions
Last week we looked at the changing energy market. Since then Ofgem has announced that from 1 October 2025 the energy price cap will rise by 2 per cent Although this cap only applies to domestic customers, the same cost pressures are already being felt by businesses.
Wholesale energy prices have dipped slightly, but the reality is that policy charges, balancing costs and network fees continue to climb. These non-commodity charges now make up a large part of most commercial energy bills and businesses are seeing higher standing charges and additional surcharges appear in their contracts.
For businesses, the message is clear. Costs are not going down any time soon and winter will bring further strain on cash flow. Many companies are still on variable or deemed rates which are particularly exposed to fluctuations, while others are paying bills that contain errors or inflated charges. It is vital that businesses review their position now rather than wait until costs rise further.
Another important point is how contracts were arranged in the first place. Where a broker has been used, there is a high chance that significant commission was hidden in the contract and never properly disclosed. We are finding that many businesses are entitled to recover large sums as a result.
At Energy Solicitors we specialise in uncovering hidden costs, challenging overcharging and helping businesses secure fairer terms. With energy costs under pressure and the winter period approaching, now is the time to act.
Contact us today for a no-obligation energy claim assessment.
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