Contract Renewal Guide

A business energy contract renewal is the process that occurs when your fixed-term energy contract is approaching its end date. Unlike domestic energy, where you can switch at any time, business energy contracts are fixed for a specific term — typically 1, 2, 3, or 5 years. Before the contract ends, you have a renewal window during which you can negotiate a new deal, switch brokers, or let the contract roll over onto your broker's default rates.

Every business energy contract has a renewal window — the period before your contract end date during which you can take action. This window varies by broker but is typically 120 to 180 days before your contract expires. During this window, you can serve a termination notice (stating you don't intend to continue), request renewal quotes from your current broker, and compare quotes from other brokers. Acting within this window is critical — miss it, and your options become limited and more expensive.

To switch brokers or avoid being rolled onto deemed rates, you must serve a termination notice to your current broker within the required timeframe. This is a formal written notification that you do not intend to renew your contract. The notice period varies by broker — some require 90 days' notice, others 120 or 180. Failing to serve notice on time means your broker can place you on their default out-of-contract rates, which are typically 30–60% higher than contracted rates.

Rollover rates (also called out-of-contract or deemed rates) are the default rates brokers apply when a contract ends without a new agreement in place. These rates are significantly more expensive than contracted rates — often 30–60% higher. Brokers apply these rates because, unlike domestic energy, they're legally obligated to continue supplying your business even without an active contract. This safety net comes at a premium, and many businesses unknowingly sit on these rates for months or years.

The key to avoiding overpaying is simple: act early. Start reviewing your energy contract 6–12 months before it expires. Note your contract end date and the required notice period. Serve your termination notice on time — even if you plan to stay with your current broker, serving notice gives you the freedom to switch if a better deal is available. Compare quotes from multiple brokers. And consider using a broker who tracks renewal dates and notifies you in advance, ensuring you never miss a window again.