The winter volatility tax hitting British business
A plain-English guide to the volatility built into British business energy prices — where it comes from, what it could cost you over the next 12 months, and what you can do about it before you sign your next contract.
Inside the guide
- How wholesale market volatility reaches British business energy bills
- Why buying renewable electricity may not remove exposure to price shocks
- Where traditional wholesale and PPA models leave businesses carrying risk
- What alternatives exist, and how to cut your exposure to the wholesale market
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Are you paying the volatility tax?
The structure behind your rate matters too
Most energy procurement conversations focus on securing the best unit rate. But many businesses remain exposed to wholesale power prices shaped by international gas markets, geopolitical conflict and extreme weather — even fixed-price contracts can lock in a premium reflecting those risks.
of the time, gas generation still sets the UK wholesale electricity price.
Gov.uk — Decisive action to break influence of gas on electricity prices, April 2026
increase in UK wholesale gas prices between late-February and late-March 2026.
House of Commons — Economic update: Middle East conflict and the UK economy, March 2026
of UK businesses expect the recent energy shock to reduce their profit margins over the following 12 months.
Bank of England — Monthly Decision Maker Panel data, July 2026
There is another way
You are not stuck with the wholesale market
UrbanChain directly matches businesses with renewable generators, creating a route to competitive, traceable power with greater price certainty and less exposure to wholesale market volatility. The guide walks through why a growing number of businesses are rethinking how they buy energy.
Download the guide
Ready to take back control before winter?
Your next energy contract could shape your costs for the next 12 months. Before you renew, understand where volatility enters your energy price, what alternatives are available and whether your current procurement model is still working for your business.
Free guide · PDF
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