Further business energy support has been announced

5th Jun 2023 | Mollie Pinnington | 3 minute read

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In April, the UK government announced a new energy discount scheme that has provided all businesses with a discount on their energy bills. This initiative is part of the government's efforts to help businesses manage their costs more efficiently and encourage them to invest in green energy technology.

The scheme applies to most businesses with premises across the UK that are eligible for the current energy efficiency scheme.

Although the energy discount scheme provided a welcome relief for many businesses, there are certain non-standard businesses (NSB) that were not eligible for the existing scheme. These excluded businesses include entities such as businesses that are signed with the license- except suppliers. This left them without access to a discount on their energy bills, making it difficult for them to make ends meet and invest in green energy technology.

To address this, the UK government has now announced an extension of its energy discount scheme to include these excluded businesses. This means that all businesses with premises across the UK are now eligible for a reduction on their energy bills, regardless of who supplies them or how they buy their energy.


Why did NSB not receive energy support?

The NSB was excluded from the energy discount scheme because it did not meet certain criteria, such as being signed with a licensed-exempt supplier. These suppliers are typically large energy companies that have exclusive contracts with certain businesses, making it difficult for other energy suppliers to compete and provide better rates. Additionally, due to these exclusive contracts, the UK government was unable to provide a discount for these businesses.

The government has recognized the need to provide a more bespoke support scheme for non-standard businesses (NSB). To address this, the government has provided a tailored energy discount scheme that is designed to meet the specific needs of these businesses. This includes an increased discount for larger premises and a new methodology for calculating energy bills that consider the changes in energy prices over time.

This new scheme is designed to provide greater support for these businesses, helping them to reduce their costs and improve their access to green energy technology. This should benefit not only businesses but also the local economy by stimulating investment in renewable energy sources.



What does this mean for businesses?

The extension of the energy discount scheme means that all businesses across the UK will now be eligible to receive a reduction on their energy bills, regardless of who supplies them or how they buy their energy. This additional support should help businesses to reduce their energy costs and invest in green energy technology, with the potential to generate cost savings for businesses over the long term.

The UK government is committed to helping businesses manage their costs more efficiently and encouraging them to transition towards a greener economy. The extension of this energy discount scheme should help achieve both of these goals, providing businesses with the support they need to succeed and helping to drive the UK towards a low-carbon future.



When will energy support for NSB begin

This support will be backdated from April 2023 until March 2024, allowing businesses the financial security they need. With this additional incentive, companies around the country will now have more control over their costs - helping them take steps forward on their journey towards environmental sustainability whilst also boosting the local economy in doing so.



How to check eligibility and access support

If you believe your business could be eligible for this support, you should check your eligibility via the GOV.co.uk website. If the business is eligible for support then you will have to apply for this scheme. As a business energy consumer, you can apply for support yourself, however, your supplier might do this for you so you should check with them first. Depending on who sends in the application the discount will either be sent directly through the customer or will go to the supplier to pass down support through energy bills.

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