Key answer
A current quote is specific to the supply
Business gas rates depend on volume, location, meter information, credit, purchasing date and contract structure. Official averages report prices paid across consumption bands; they are useful benchmarks but not live tariffs.
Official quarterly benchmark
Average business gas rates — checked October 29th, 2026
These are the latest DESNZ average prices paid by UK non-domestic consumers. The figures cover Q2 2026; they are a retrospective benchmark, not tariffs available on the date shown above.
| Consumption band | Annual use | Excluding CCL | Including CCL | Year on year |
|---|---|---|---|---|
| Very small | <278 MWh | 8.80p/kWh | 9.31p/kWh | +6.1% |
| Small | 278–2,777 MWh | 4.38p/kWh | 4.86p/kWh | -4.6% |
| Medium | 2,778–27,777 MWh | 3.86p/kWh | 4.21p/kWh | -6.6% |
| Large | 27,778–277,777 MWh | 3.68p/kWh | 3.83p/kWh | -5.7% |
| Very large | 277,778–1,111,112 MWh | 3.89p/kWh | 3.97p/kWh | -7.3% |
| UK average | All bands | 4.94p/kWh | 5.28p/kWh | -0.6% |
DESNZ calculates each band by dividing the total value of energy purchased by the total quantity purchased. Prices are fully delivered and exclude VAT. “Including CCL” reflects the Climate Change Levy reported in the official series.
Five-year trend
UK average business gas price
The line shows the quarterly UK average including CCL. It tracks prices businesses paid across all consumption bands, rather than today’s wholesale market or a newly quoted fixed contract.
- Q2 2026
- 5.28p/kWh
- Year-on-year
- -0.6%
- Five-year change
- +103.5%
From wholesale market to business bill
What affects business gas prices?
The official average above moves slowly because it includes contracts agreed at different times. A new quote can move sooner as suppliers reprice wholesale energy, risk and the costs specific to one business.
DESNZ publishes retrospective non-domestic averages quarterly; it does not set tariffs. Ofgem’s three-month price cap applies to default domestic tariffs, not business energy contracts. Business quotes can change daily.
Wholesale gas
UK business gas prices respond to British and European wholesale markets, which reflect pipeline supply, LNG cargoes and storage.
Weather and demand
Cold weather increases heating demand. Industrial demand and gas-fired electricity generation can add further pressure.
Pipeline and LNG supply
Norwegian and European flows, terminal availability, global LNG demand and shipping costs affect the gas available to Britain.
Geopolitics and oil
Oil does not directly set UK gas prices, but conflict or disruption around routes such as the Strait of Hormuz can move LNG, shipping and wider energy markets.
Networks, levies and tax
Transport, distribution, metering, supplier costs, the Climate Change Levy and VAT can change the delivered price.
Your contract
Volume, seasonal profile, location, meter details, credit, contract term and purchasing date determine the actual business rate.
Where UK gas came from in 2025
Production and imports
UK production was 332 TWh, equivalent to just under half of demand. Pipeline imports, LNG cargoes, storage and exports balance the system, so UK prices remain exposed to European and global gas markets.
Signals to watch
What can move the direction?
- Near term
- Weather, UK and European storage, outages, pipeline flows and LNG arrivals.
- Medium term
- Forward wholesale curves, network charges, policy costs, carbon prices and contract renewal timing.
- Not a direct forecast
- Household price-cap changes and oil prices can provide context, but neither is a live business gas quote.
Read the price in context
Check the date, source, consumption band and whether the Climate Change Levy is included. If a website does not explain those details, its average can be difficult to use responsibly.
For two live offers, calculate annual unit charges and standing charges from one kWh assumption. List other fees or variable elements separately.
- Unit rate in pence per kWh
- Daily standing charge
- Contract duration and start date
- Taxes, levies and broker remuneration
- Any pass-through or reconciliation mechanism
What the latest gas trend shows
The UK average including CCL was 5.28p/kWh in Q2 2026, 0.6% lower than a year earlier but 103.5% higher than Q2 2021. The very-small band rose 6.1% year on year, while the other gas consumption bands fell.
The paid-price series still reflects contracts agreed at different points in the market cycle. It should therefore be used to understand direction and scale, not as a prediction of the rate available to one premises today.
Why the business's recent history matters
Gas use can be seasonal and can change sharply after new heating equipment, altered occupancy or production changes. Compare the quote assumption with recent meter readings and expected operations, not just a generic business-size label.
Deemed and out-of-contract gas rates
Deemed terms can apply after a business moves into premises without agreeing a contract. Out-of-contract terms can apply after a fixed agreement ends. Both are supplier-specific and can combine a high unit rate with a substantial standing charge.
Use the supplier's current published schedule to check an existing account, and date any comparison. Do not mix those default rates with the DESNZ averages or describe them as negotiated market offers.
Sources
Primary sources checked for this page:
Next step
Calculate the annual gas cost
Use a quote's rate and standing charge with your own kWh.
Current prices
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