What do the charges on a business energy bill mean?
A business energy bill shows how much energy a site used and the charges applied. Look for consumption in kWh, unit rates, standing charges, meter identifiers, Climate Change Levy (CCL) and VAT.
Common identifiers and charges
- MPAN
- The Meter Point Administration Number identifies an electricity supply point. It is typically a long number shown on an electricity bill; it identifies the supply, not the person paying it.
- MPRN
- The Meter Point Reference Number identifies a gas supply point. Find it on a gas bill or ask the supplier if it is not shown.
- kWh and unit rate
- kWh measures energy consumed. The unit rate is the price charged for each kWh, usually shown in pence per kWh.
- Standing charge
- A fixed daily charge for the supply, charged whether or not energy is used.
- CCL
- The Climate Change Levy is an environmental tax on business energy use, subject to applicable rules, rates and exemptions. Bills may show it as a separate line.
- VAT
- Usually 20%; qualifying low-use supplies can sometimes be charged 5%. From 1 October 2026 to 31 March 2027, qualifying electricity in Great Britain (including business supplies under 1,000 kWh a month) is charged at 0% VAT; gas stays at 5%.
Use your bill to compare accurately
Find a full-year kWh total for each fuel, verify the supply address and note the contract end date. Compare unit rates and standing charges on the same VAT basis and for the same expected usage. Ask the supplier to explain any unfamiliar adjustment or tax line.
Estimate my business energy costs using the details from your bill. Never share payment card details or account passwords to get an estimate.
Frequently asked questions
Where can I find my MPAN or MPRN?
They are normally printed on the corresponding electricity or gas bill. Your supplier can identify the number if it is missing from the statement.
Is the standing charge included in the unit rate?
Usually not. It is a separate daily amount, so include it when estimating the total cost alongside the p/kWh charge.
Do all businesses pay 20% VAT on energy?
No. Some qualifying low-use or charitable supplies may be eligible for 5% VAT. Check eligibility with your supplier or tax adviser. From 1 October 2026 to 31 March 2027, qualifying electricity in Great Britain (including business supplies under 1,000 kWh a month) is charged at 0% VAT; gas stays at 5%.
What is CCL on a business bill?
CCL means Climate Change Levy, an environmental tax that may be itemised on business energy bills. Rules, rates and exemptions apply; ask your supplier or adviser about your circumstances.