The Energy Bill Discount Scheme: As a business owner, you know that energy bills can be a significant expense that can impact your bottom line. From October 2022 to March 2023, the UK Government subsidized electricity and gas prices for businesses, charities, and local authorities through the 'Energy Bill Relief Scheme'.
In April 2023, this scheme was replaced and updated with the 'Energy Bill Discount Scheme', which will run until March 2024. The EBDS offers financial assistance to eligible businesses to help them manage their energy costs. In this guide, we'll provide an overview of the EBDS and how it may benefit your business.
The new £5.5 billion support scheme offers discounted unit rates on fixed-price contracts signed on or after December 1st, 2021, as well as deemed and out-of-contract rates, subject to a minimum threshold. Energy Trade Intensive Industries will receive a bigger relative discount compared to others due to their high energy consumption.
There is no need for businesses to register for the new scheme as the discount is automatically applied to wholesale prices rather than the contract price. Therefore, those who are eligible will automatically receive the discount. However, if your business is listed as an Energy Trade Intensive Industry, you will have to apply for the discount.
Energy and Trade Intensive Industries that are eligible for the additional support are listed on the government website - Download List
If your business is eligible for the EBDS, you will be able to benefit from reduced costs. However, it is important to note that the overall government funding for this scheme has been drastically reduced compared to the amount that was previously available under the Energy Bill Relief Scheme.
At Switch365, we understand the importance of cost savings for businesses. That's why we not only offer renewable energy solutions but also keep you informed about government schemes like the Energy Bill Discount Scheme. Our knowledgeable team can guide you through the eligibility requirements and help you maximise the benefits for your business. By switching or renewing with our team, we can help you find the most cost-effective deal for your business. With multiple solutions available we can also help businesses offset rising energy costs by making vital savings on their merchant services. Contact Switch365 today and let us assist you in securing the right utility contract for your business.