After a turbulent spring, July has brought further positive news for UK businesses. Both electricity and gas prices have continued to move lower during recent weeks, with improving wholesale conditions feeding through into supplier pricing.
Whilst global events continue to influence energy markets, the extreme volatility experienced during March and April has largely subsided. Most suppliers are now quoting consistently again, competition has increased and many fixed-rate contracts have become more competitive than they were just a few months ago.
Although no one can predict exactly where wholesale markets will move next, current conditions provide businesses approaching renewal with a much stronger choice of suppliers and more attractive pricing than was available earlier this year.
Five Things Businesses Should Know This Month
📉 1. Electricity prices have continued to fall
Improved wholesale market conditions have allowed many suppliers to reduce fixed electricity rates throughout June and into July.
🔥 2. Gas prices have also softened
Wholesale gas prices have continued their downward trend, helping suppliers offer increasingly competitive contracts.
🤝 3. Supplier competition is back
Following the disruption seen earlier this spring, most major suppliers are now actively competing for new business, giving customers greater choice.
📅 4. Summer is often a good time to review contracts
With markets currently more stable, businesses whose contracts end later this year can often benefit from reviewing options before autumn demand returns.
⚠️ 5. Markets can still change quickly
Although current pricing is encouraging, wholesale markets remain influenced by geopolitical events, weather patterns and wider economic conditions.
Business Electricity Prices – July 2026
Business electricity prices have continued to soften throughout June and into July, with many suppliers reducing fixed-rate offers as wholesale market conditions have improved. Compared with the volatility experienced during March and April, the market is now considerably more stable, allowing suppliers to price contracts with greater confidence.
One of the biggest drivers behind recent improvements has been the continued fall in wholesale gas prices. Because gas-fired power stations still generate a significant proportion of the UK’s electricity, movements in the gas market have a direct impact on electricity prices. As wholesale gas costs have eased, electricity suppliers have gradually passed some of those savings on through lower fixed-rate contracts.
Supplier competition has also strengthened. During the peak volatility earlier this year, several suppliers temporarily withdrew pricing or limited the length of contracts they were willing to offer. With markets now calmer, the majority of suppliers have returned to normal quoting, increasing competition and giving businesses a much wider choice of tariffs.
Whilst the overall direction has been encouraging, there remains a considerable difference between suppliers. Businesses renewing with their existing supplier without comparing the market could still pay significantly more than those who obtain fresh quotes.
Looking ahead, electricity prices will continue to depend on wholesale gas markets, renewable generation levels, European energy demand and wider geopolitical developments. Although no one can predict future movements with certainty, the current market offers one of the most competitive pricing environments seen since the disruption earlier this spring.
July 2026 Electricity Price Comparison Table
| Business Size |
Annual Usage (kWh) |
Average Electricity Rate (p/kWh) |
Average Standing Charge (p/day) |
| Micro business |
0 – 4,999 |
24.47p |
75.63p |
| Small business |
5,000 – 14,999 |
24.24p |
84.17p |
| Medium business |
15,000 – 24,999 |
24.38p |
84.17p |
| Large business |
25,000 – 49,999 |
24.127p |
118.72p |
| Very large business |
50,000+ |
Bespoke Pricing
|
Bespoke Pricing
|
*Electricity prices shown are average July 2026 business rates.*
The spread between the most competitive rates and average market pricing remains substantial, particularly for businesses that have not reviewed their contracts recently.
👉 Compare live electricity prices: https://www.wesave.co.uk/compare-business-electricity
Business Gas Prices – July 2026
Business gas prices have also continued to improve over recent weeks, with wholesale costs easing as concerns over immediate global supply disruption have reduced.
Earlier this year, geopolitical tensions caused significant uncertainty across European gas markets, resulting in sharp wholesale price increases and several suppliers withdrawing quotes while markets stabilised. Since then, improved supply conditions, healthy storage levels and reduced seasonal demand have helped restore confidence, allowing suppliers to reduce fixed contract prices.
Competition between suppliers has also increased considerably. Most major business energy suppliers are now actively quoting again, creating a more competitive market and giving businesses greater access to attractive fixed-rate contracts.
Despite these positive developments, gas prices remain sensitive to external events. Changes in global LNG supply, European storage levels, weather forecasts and international geopolitical developments can all influence wholesale markets at relatively short notice.
For businesses with high gas consumption – such as manufacturers, hotels, care homes, leisure facilities and food businesses – the current market presents an opportunity to review contracts while pricing remains considerably more favourable than it was just a few months ago.
July 2026 Gas Price Comparison Table
| Business Size |
Annual Usage (kWh) |
Average Gas Rate (p/kWh) |
|
Micro business
|
0 – 4,999 |
7.88p |
|
Small business
|
5,000 – 14,999 |
7.06p |
|
Medium business
|
15,000 – 24,999 |
7.04p |
|
Large business
|
25,000 – 49,999 |
7.01p |
|
Very large business
|
50,000+ |
Cheaper Bespoke Pricing
|
*Gas prices shown are average July 2026 business rates.*
With standing charges continuing to represent a significant proportion of total costs for many businesses, reviewing overall contract value remains just as important as securing a competitive unit rate.
👉 Compare live gas prices: https://www.wesave.co.uk/compare-business-gas/
What Businesses Should Watch Over the Coming Months
Rather than looking back at what happened in spring, July is a good point to start looking ahead.
Key factors likely to influence prices during the second half of 2026 include:
- Supplier competition and pricing strategies
- Wholesale gas market movements
- UK renewable electricity generation
- European gas storage levels ahead of winter
- Global geopolitical developments
Why July Could Be a Good Time to Compare
Current market conditions offer several advantages:
- More suppliers actively quoting
- Lower electricity prices than earlier this year
- Softer gas pricing
- Greater tariff choice
- Opportunity to secure pricing before autumn market uncertainty
July Energy Checklist
✓ Check your contract end date
✓ Review annual consumption
✓ Compare electricity and gas prices
✓ Consider fixing rates for 12–36 months
✓ Avoid rollover or deemed tariffs
Final Thoughts
July marks another positive month for UK business energy markets. With both electricity and gas prices continuing to soften and supplier competition returning, businesses now have access to a broader range of competitive tariffs than they did just a few months ago.
While wholesale markets can never be predicted with certainty, current conditions provide a valuable opportunity for businesses approaching renewal to review their options and secure competitive pricing before market conditions change again.
Start your comparison today:
⚡ Compare Business Electricity: https://www.wesave.co.uk/compare-business-electricity/
🔥 Compare Business Gas: https://www.wesave.co.uk/compare-business-gas/