Change of tenancy business energy UK: what to do when you move premises (October 2026)

Last updated: Wednesday 7 October 2026 (Europe/London).
Next update: when Ofgem changes its change of tenancy guidance or the industry rules on change of occupier.
By: Switch Editorial Team, Switch Squid Ltd

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As of 7 October 2026, when your business moves into or out of premises, Ofgem says you should tell the current energy supplier for the property as soon as you can, with a meter reading and evidence such as your lease, and the supplier must review that evidence within 10 working days. Until you agree a contract, any energy you use is usually billed on deemed rates, which are typically higher than contract prices and are not limited by the household £1,723 price cap. Getting the change of tenancy right protects you from the last occupier’s bills and from weeks on expensive default prices. SwitchSquid sets out the steps below; our business energy service is free to use and we may be paid by the supplier you choose.

Sources: Ofgem — change of tenancy for businesses, Ofgem — moving business premises, Ofgem — get a business energy contract, Ofgem — guidance on deemed contracts and Ofgem — change of occupier decision (February 2025).

What is a change of tenancy in business energy?

A change of tenancy, also called a change of occupier, is the process that tells an energy supplier a different business is now responsible for the electricity and gas at a property. Ofgem describes it as what happens when a business changes property, for example because of a property sale, an expansion or a bankruptcy. It matters because business energy is tied to the meter at the premises, not to the company, so the supplier needs to know exactly when responsibility passed from one occupier to the next.

If that change is not recorded properly, two things can go wrong. The incoming business can be billed for energy the previous occupier used, or chased for their debts. The outgoing business can keep receiving bills for a property it no longer occupies. A clean change of tenancy, with dated meter readings and evidence, avoids both.

There is no price cap to fall back on. The household price cap does not apply to business supplies, so the rates you pay depend entirely on the contract you agree, or on the supplier’s deemed rates if you have not agreed one yet. Our guide to the business energy price cap explains why.

If your business is moving into new premises

1. Find out who supplies the property. Ask the landlord, the seller or the previous occupier, or check recent bills left at the premises. Your meter numbers, the MPAN for electricity and the MPRN for gas, identify the supply.
2. Tell the current supplier as soon as you can. Ofgem says to notify the supplier about the change in occupier as soon as possible and include a meter reading if you can.
3. Take dated meter readings on the day you take over. Photograph each meter with the date visible. This is your best protection against paying for someone else’s energy.
4. Have your evidence ready. Ofgem lists tenancy or lease agreements, property sale documents and title deeds. If more is needed, suppliers may ask for mortgage documents, business rates bills, or letters from a bank, solicitor or landlord.
5. Agree a contract quickly. You can stay with the property’s current supplier on a new contract or switch to a different supplier. Ofgem suggests checking whether you can set up a contract before you move in; if not, you can do it at any time after.

If you switch supplier as part of the move, Ofgem says you should notify both the current and the new supplier about the change in occupier and give evidence to both; the new supplier can help with this. The current supplier will accept the switch if it agrees a change of occupier has happened, or reject it and give you a reason.

If your business is moving out

Ofgem’s advice before moving to new premises is to check the terms and conditions of your existing contract, check whether your account is in credit or debt, check whether energy costs are included in your tenancy agreement, and tell your old supplier that you are moving. Take final meter readings on the day you hand back the keys, photograph them, and send them to your supplier with your forwarding address so the final bill is accurate.

Your contract terms decide what happens to the deal itself. Some suppliers let you end a contract when you leave the premises, some let you move it to your new site, and some may charge if the contract has time left to run. Ask the supplier in writing, and keep the reply. Our guides to ending a business energy contract and to security deposits cover what to ask about refunds and closing balances.

Change of tenancy at a glance (checked 7 October 2026)

Step	Business moving in	Business moving out	Rule or timescale	Source
Notify the supplier	Tell the property’s current supplier as soon as possible	Tell your supplier you are leaving and give a forwarding address	Do this even while talking to new suppliers	Ofgem
Meter readings	Dated readings on the day you take over	Final readings on the day you leave	Include a reading with your notice if you can	Ofgem
Evidence	Lease, tenancy agreement, sale documents or title deeds	Proof of the date you left, such as a lease end or surrender	Supplier reviews it within 10 working days	Ofgem
Supplier decision	New account opened, change rejected with reasons, or more information requested	Old account closed and final bill issued	Another review if more evidence is needed	Ofgem
Prices before a contract	Deemed rates, usually higher than contract prices	Not applicable once the account is closed	Deemed terms must not be unduly onerous	Ofgem
Disputes	Use the supplier’s complaints process	Use the supplier’s complaints process	Then the Energy Ombudsman or Citizens Advice	Ofgem

Ofgem’s guidance follows an industry rule change it approved in February 2025, which set out the evidence suppliers can rely on and introduced fixed timescales for reviewing it. Ofgem said the change would reduce the risk of businesses being held responsible for previous occupiers’ debts and being placed on more expensive deemed contracts, and would shorten the time spent on deemed rates.

Deemed rates: why speed matters

Ofgem says you are put on a deemed contract automatically when you move into premises without arranging a formal contract, and that deemed rates are usually higher than negotiated contract rates. Its guidance adds that you are responsible for any energy used before your new contract starts, and that deemed rates can go up and down. Suppliers must not set deemed terms that are unduly onerous, but that does not make them a good deal.

The practical lesson is simple: every week on deemed rates is likely to cost more than the same week on a contract. Have your meter numbers, likely yearly usage and evidence ready before you move in, so you can compare quotes and sign as soon as the supplier has recorded the change. Our guide to deemed business electricity rates explains how they compare with contract prices.

Common change of tenancy problems

Bills in the previous occupier’s name. Do not ignore them. Send the supplier your evidence and dated meter readings straight away, and ask for the account to be closed and a new one opened from your start date.

A supplier asks for more and more documents. Ofgem says a supplier asking for more information must make clear why the evidence you gave is not sufficient and what else it needs. If you think the request is unreasonable, or the review runs past 10 working days, use the supplier’s complaints process.

The switch to a new supplier is rejected. The current supplier can reject a switch if it does not agree a change of occupier has happened, but it must give you a reason. Ask for that reason in writing and supply whatever evidence answers it.

An unexpected bill arrives later. Contact the supplier through its complaints process first. If that does not resolve it, Ofgem says you can take your case to the Energy Ombudsman or get help from Citizens Advice. Microbusinesses have extra protections on back billing; our microbusiness energy rights guide explains them.

Fit summary

• Good for getting quotes now: businesses with a confirmed move-in date, their meter numbers and an idea of yearly usage, who want to leave deemed rates as quickly as possible.
• Sort the paperwork first if: you do not yet have a signed lease or completion date, as suppliers will want evidence of when you became responsible.
• Check your lease if: energy is included in the rent or the landlord manages the supply, as you may not need your own contract.

Important conditions

• This guide covers business premises and non-domestic meters only.
• Process and timescales come from Ofgem’s published guidance, checked on 7 October 2026; individual suppliers may ask for different evidence.
• Deemed and contract prices vary by supplier, region, meter type and usage; there is no business price cap.
• Whether you can end or move an existing contract depends on its terms.
• Our business energy service is free to use and we may be paid by the supplier you choose; ask us how before you agree to anything.

Final decision card

Moving in this month → tell the current supplier, send dated meter readings and your lease, then compare quotes so you spend as little time as possible on deemed rates.
Moving out → send final readings and a forwarding address on the day you leave, and ask in writing what happens to your contract.
Billed for the last occupier’s energy → send your evidence, use the complaints process, then go to the Energy Ombudsman if needed.

FAQ

What is a change of tenancy for business energy?

It is the process of telling an energy supplier that a different business is now responsible for the supply at a property. Ofgem also calls it a change of occupier. It makes sure each business only pays for the energy it used.

Who should I tell when my business moves premises?

Ofgem says to tell the current energy supplier for the property as soon as you can, whether you are moving in or moving out. Do this even if you are already discussing contracts with other suppliers. If you are switching supplier as part of the move, tell both the current and the new supplier.

What evidence do suppliers ask for?

Ofgem lists tenancy or lease agreements, property sale documents and title deeds. If those are not enough, a supplier may ask for mortgage documents, business rates bills, or letters from a bank, solicitor or landlord. It must explain why the first evidence was not sufficient.

How long does a business change of tenancy take?

Ofgem says the supplier will review your documents within 10 working days. It will then open a new account, reject the change with a reason, or ask for more information. Sending complete evidence first time keeps things moving.

What are deemed rates?

Deemed rates are the prices a supplier charges when your business uses energy at a property without a formal contract, such as after moving in. Ofgem says they are usually higher than negotiated contract rates. Agreeing a contract quickly is the best way to leave them.

Am I responsible for the previous occupier’s energy debts?

You should only pay for energy used from the date your business became responsible for the premises. Dated meter readings and evidence such as your lease are how you prove that date. Ofgem’s February 2025 rule change was designed to reduce the risk of businesses being held responsible for previous occupiers’ debts.

Can I choose a new supplier when I move into business premises?

Yes. You can take a new contract with the property’s current supplier or switch to a different one. Ofgem suggests checking whether you can arrange a contract before you move in, and if not, you can do it at any time after moving.