Reduce Your Agriculture Energy Costs
Secure a better energy deal for your farm in minutes
Reduce Your Agriculture Energy Costs
Secure a better energy deal for your farm in minutes
Across the UK agricultural sector, energy is one of the largest and least flexible overheads. From irrigation systems and grain drying to refrigeration and heating livestock buildings, farms rely on continuous power. Most farm and agricultural businesses depend heavily on grid electricity to keep essential systems running, particularly during peak seasonal periods.
In some rural areas, limited access to upgraded energy infrastructure can restrict flexibility and increase exposure to higher prices. With high energy prices and rising energy costs feeding directly into production costs, many farmers are reviewing how they purchase electricity and gas.
If you have not checked your agriculture energy cost recently, there is a strong chance your current contract no longer reflects today’s energy prices or your actual usage profile.
At Business Utility Hub, we support UK farms and agricultural businesses by comparing gas and electricity contracts from trusted UK suppliers. We monitor energy prices daily, provide clear explanations of your options, deliver tailored energy solutions and manage the full switch on your behalf. That means you can focus on operations, crop yields and food production, while we focus on securing a contract that aligns with how your farm operates.
Call us on 0800 781 2700 to review your energy contract.
We compare rates from top UK energy suppliers
Why compare gas and electricity rates for farm and agricultural businesses?
Agricultural businesses often operate in rural areas where energy infrastructure can be stretched and demand rises during peak seasons such as harvest or high irrigation periods. When electricity use increases, even small differences in unit rates can quickly add up and place additional pressure on production costs and overall operating costs.
You may benefit from comparing gas and electricity rates if:
- You are out of contract or on a deemed tariff, which is usually the most expensive option.
- Your agreement no longer reflects current market energy prices.
- Your energy consumption has increased due to new equipment, electric machinery or changes in operations.
- You manage multiple farms or sites with separate contracts and inconsistent renewal dates.
- You want greater visibility over costs to support planning, reinvestment and long-term sustainability.
Reviewing your rates can help improve energy efficiency, support increased efficiency across systems and reduce unnecessary exposure to high energy prices.
At Business Utility Hub, we assess your current contract, review your energy use and compare live prices across trusted suppliers. We focus on practical outcomes - stable pricing, clear contract terms and better alignment between your tariff and how your farm actually operates.
Understanding energy use in the agricultural sector
Energy consumption in agriculture varies by farm type, but common uses of electricity include:
- Lighting and ventilation systems.
- Irrigation systems and irrigation pumps.
- Milking parlours and dairy processing equipment.
- Cold storage and refrigeration.
- Grain drying and crop handling machinery.
- Heating systems for livestock buildings.
- Electric machinery and electric tractors.
Electric motors and electric pumps often run for extended periods, especially during peak irrigation seasons. This means demand can rise sharply at certain times of year. Without the right contract in place, farms can be exposed to high energy prices during peak usage.
Understanding when and how your farm uses energy allows you to select a more efficient tariff and improve energy efficiency across your operations.
What kind of deals are available to agricultural businesses?
Not all energy deals suit farms. The type of electricity or gas contract you’re on plays a direct role in how much you pay, how exposed you are to high energy prices and how predictable your energy costs remain throughout the year.
Standard Variable Tariff (SVT)
An SVT means your electricity prices and standing charges can move in line with wholesale markets. These tariffs are often default options and usually come without exit fees. While flexible, they leave agricultural businesses exposed to rising energy costs during periods of volatility.
Deemed rates
If you move into new premises or take over an existing farm without arranging a contract, your supplier will place you on deemed rates. These are typically among the highest electricity and gas prices available and can significantly increase production costs if left unchecked.
Standard variable tariffs (SVT)
Rates can rise or fall with wholesale energy prices. These tariffs offer flexibility but little price certainty.
Out-of-contract rates
When a fixed contract ends and no renewal is agreed, out-of-contract rates apply. These rates are usually at higher prices than negotiated agreements and can quickly push up operating costs across farms and rural businesses.
Fixed-term agricultural energy contracts
Fixed contracts lock in unit rates for an agreed period, helping protect farms from short-term market movement. Many agricultural businesses prefer fixed deals to support cashflow planning, particularly where irrigation systems, refrigeration or heating drive consistent electricity demand.
Flexible or pass-through contracts
Larger farms or multi-site agricultural businesses may consider flexible contracts that track wholesale energy prices more closely. These can offer opportunities when markets fall but require closer monitoring and a greater appetite for risk.
Our team explains each option clearly and helps you choose the right contract based on your energy consumption, seasonal demand and long-term operational plans.
How Business Utility Hub helps farms manage energy costs
Tell us about your farm
We gather details about your sites, usage, current supplier and contract end date.
We monitor energy prices daily
Our team compares offers from multiple suppliers, focusing on cost-effective energy solutions suited to agriculture operations.
You choose from clear options
We explain contract terms in plain English and no jargon, including standing charges, unit rates and length. Our service has no upfront cost and no hidden fees, just personalised advice and support.
We manage the full switch
Once you select your deal, we handle the entire transition with no disruption to supply. You will also have a dedicated account manager who tracks renewal dates and helps avoid expensive out-of-contract periods.Energy efficiency and sustainability in hospitality
The UK hospitality industry is under increasing pressure to manage its carbon footprint while keeping costs under control. Energy efficiency measures can support both objectives.
Using less energy, improving efficiency and reviewing energy suppliers regularly all contribute to a more sustainable future for hospitality businesses. Even small improvements can add up across multiple sites or long operating hours.
What do you need to start a hospitality energy comparison?
To compare deals, it helps to have:
- Your business address and current energy supplier.
- A recent energy bill or annual energy usage figure.
- Your contract end date, if known.
- Your electricity MPAN number or gas MPRN number (unique supply reference numbers found on your bill).
If you do not have everything to hand, our team can often help locate the details.
Looking for electric or combined energy deals?
Compare combined gas and electric deals
What do you need to start comparing energy rates?
Getting started is straightforward. To help us compare accurate energy prices for your farm or agricultural business, it’s useful to have the following details ready:
- Your farm or site address and current energy supplier.
- Your electricity MPAN number and gas MPRN number, if available. These unique supply numbers identify your electricity and gas meters and allow suppliers to provide precise quotes more quickly.
- A recent energy bill showing your energy consumption, unit rates and standing charges.
- Your current energy contract end date, so we can time your switch correctly and avoid out-of-contract rates.
- A brief overview of your operations, such as the type of farm, key equipment in use, irrigation systems, heating requirements or seasonal demand patterns.
If you don’t have everything to hand, that’s not a problem. Our team can help you locate the relevant information and guide you through the comparison process step by step.
Frequently asked questions about agriculture energy costs
What affects the energy cost per kWh for farms?
Business electricity prices vary depending on contract length, usage profile and market conditions. Energy prices move daily, so there is no single answer to the question: how much does energy cost per kWh for farms?
The current price per kWh in the UK for business electricity depends on your annual consumption, peak demand and contract type. Farms on deemed or out-of-contract tariffs are often exposed to high energy prices, while those on fixed agreements may secure more competitive electricity rates for agriculture.
The most accurate way to understand how much to pay per kWh is to compare live quotes based on your actual usage. We monitor energy prices daily and can explain what current electricity rates for agriculture mean for your farm.
If you are VAT registered, businesses generally pay 20% VAT on electricity at the standard rate, although reduced rates can apply in some cases. We can review your energy bills and confirm how VAT affects your costs.
What are ten of the most expensive uses of electricity in agriculture?
Electricity supports a wide range of day-to-day farming practices and operations, supporting productivity and efficiency across the agricultural sector. Ten common uses include:
- Irrigation systems and electric pumps used to manage water supply for crops, particularly during dry periods.
- Grain drying equipment, which requires significant power over concentrated harvest periods.
- Refrigeration and cold storage units used for dairy, meat and fresh produce.
- Milking parlour systems, including vacuum pumps, cooling tanks and cleaning cycles on a dairy farm.
- Ventilation systems in poultry and livestock housing, especially where fans run continuously.
- Heating systems in greenhouses and livestock buildings during colder months.
- Electric motors powering automated feeding lines, conveyors and processing machinery.
- On-site food production and processing equipment, which can draw high loads during peak activity.
- Compressed air systems used in workshops and industrial-style agricultural operations.
- Large electric machinery and charging infrastructure for electric tractors and other electric equipment.
Because these systems often play a crucial role and run for extended periods, even small changes in electricity rates can have a noticeable impact on production costs. Reviewing your energy contract in line with actual energy consumption is one of the most practical ways to manage agricultural energy costs effectively.
Compare your agriculture energy contract today
With high energy prices and ongoing market volatility, reviewing your contract before renewal can protect your business from unnecessary costs.
At Business Utility Hub, we provide clear advice, daily market monitoring and full switching management. There are no upfront fees, and our commission is disclosed on request.
Call 0800 781 2700 or email savings@businessutilityhub.co.uk to review your agriculture energy cost and secure a more stable deal for the future of your farm.