The gas providers provides the same gas to home needs as well as business but the business gas needs are more than home needs as they needed for smaller to larger companies. The main key thing for business gas is setting up a contract while domestic needs keep on fluctuating. This allows customers to switch to other contracts with basic cancellation fee.
Here we will explain you why.
Contracts of business energy are fixed upt one, two or three years and they generally do not opt to switch the business gas. That means the customer pays the same charges for energy over the term period of their contract which cannot be changed to wholesale prices.
Business energy has 20% of VAT, while domestic gas charges 5% VAT. So the customers need to pay the extra charges which goes up and down during the year.
For business energy contracts, however, customers are almost always locked into a 1, 2, or 3-year contract, and have no option to cancel early. That means businesses pay the same amount for energy over the course of their contract and are not affected by changes in the wholesale price of energy.
It is an electricity plans used for business. It differs from home electricity in many ways.
You get negotiating plans and will have tailored quotes.
There prices fluctuates during the whole year or sometimes regularly.
VAT will be levied 20% for business electricity as home electricity has 5% VAT
Less option to switch other suppliers as there contracts last longer.
Home Electricity & Gas
Home electricity and gas supply works on fluctuation price patterns and the tax levied them on is only 5% and home needs electricity and gas has the easy to option for switching as there are no long term contracts signed for home energies.