If you’ve come across the term ‘deemed energy contract’ and felt a little unsure, don’t worry, you’re not alone. These contracts are pretty common and, while they may not always be the best long-term option, they do come with some benefits. Let’s break it all down so you can make the best decision for your business.
What is a Deemed Energy Contract?
A deemed energy contract is a temporary, standard-rate agreement between your business and an energy supplier. This usually happens when you move into new premises and start using electricity or gas before setting up a formal contract. Instead of cutting off your supply, the provider keeps things running smoothly under a deemed contract, so no sudden power cuts while you’re settling in!
The Silver Lining: Why a Deemed Contract Can Be Useful
Yes, deemed rates can be higher than fixed-term contracts, but they also come with a key advantage; flexibility. Unlike fixed contracts, a deemed contract doesn’t tie you down, meaning you’re free to shop around for a better deal whenever it suits you. This gives you the freedom to compare suppliers and switch to a contract that best fits your business needs when you’re ready.
How Can I Tell If My Business is on a Deemed Contract?
Suppliers must let you know if you’re on a deemed contract and should explain your options. If you haven’t received this information, check your bill or contact your supplier directly. You can also look up deemed rates on your supplier’s website to compare them with other deals.
Why Might My Business Be on a Deemed Contract?
You might find yourself on a deemed contract for a few reasons, including Moving to New Premises. If your business has just relocated and you notified you’re legally responsible, the existing supplier will place you on a deemed rate.
What Should I Do If I’m on a Deemed Contract?
If you’re on a deemed contract, you’ve got options! Here’s what you can do next:
Enjoy the Flexibility: You’re not locked in, so take the time to find the best deal for your business.
Compare Rates: Check out other suppliers or ask Ruby Energy for a quote to see if you can get a better price alongside our excellent customer service.
Negotiate a New Contract: If you like your current supplier but not the rate, see if they can offer you a better deal.
Make the Smart Choice with Ruby Energy
While deemed contracts keep your business powered without the hassle, they’re often not the most cost-effective option. The good news? Switching is easy!
If you’re on a deemed contract and want to explore better energy rates, click here to get a no-obligation quote from Ruby Energy. We make it simple to find a great deal, backed by our excellent Trustpilot rating from over 17,000 reviews.
