Switched Gears: How My Car Garage Navigated an Energy Change of Tenancy – With Real-World Examples That Got My Attention
When I first started running my new auto garage in Derbyshire last year, I expected the major hurdles would be things like sorting out the tools, hiring a workforce and fixing broken electric lifts. I did not expect that the major headache would be the commercial garage energy bill.
Only ten days in, I received the first electric bill for £428.67, and I had not even turned on the lights of the garage yet! It turned out I had been put on a ” deemed contract” with the previous tenant’s energy provider when I signed the lease and would have been paying for their energy usage. For most businesses taking on a new commercial property this is often what happens when you do not acknowledge Change of Tenancy (COT) occupation.
In my situation, comes E for Energy, without hesitation I’ll say they are the pit crew you want in business energy.
A COT is the process business owners need to follow when taking an occupied property. Without this process, you could find yourself being invoiced by the business energy supplier on the deemed and/or out-of-contract rates – which Ofgem reports could be roughly 80% higher than negotiated rates! If the previous tenant did not transfer the final meter reading, you could get billed for their usage too! This happened to me almost until E for Energy helped me get control.
A fast-food shop owner in London explained via Reddit that when he took on the shop he received a bill of £9,000 based on the previous tenant’s consumption! The business energy supplier cut off the power and threatened to cut the meter unless he paid the bill.
“They said someone has to pay so they removed the counter from the meter and cut the power” he wrote.
This is an extreme but real instance of why it’s critical to take your own meter reading from Day One – there is no argument if you want to save on the commercial energy bill.
2. Maxen Power Nightmare – EDF Taking Months to Transfer Supply
Another business owner described the nightmare of getting EDF to process a Change of Tenancy (COT). After providing all of the documentation and also having support from the landlord, EDF months later were still dragging it’s heels and didn’t take into account the debt owed by previous occupiers.
“We still haven’t been setup even though we provided all the documents”. One commenter suggested to call up Ofgem and complain.
3. Village Butcher Blind-side Out-of-Contract Rate
A butcher in Leicestershire was switched into some expensive business energy contract rates and built up nearly £40,000 of debt until they managed to get Ofgem to rule in their favour. Ultimately the butcher paid just about £5,000, but the stress and financial exposure were enormous.”
I ran my experience of filling out a callback request, fully prepared for some agent trying to sell me a service. Instead, I got a specialist in business energy transitions – who instantly recognized that garages have heavy load tools, distinct peak capacity use, and likely future EV charging. They asked me:
• “Did you submit your first day reading?”
• “Do you know what previous lease contract was?”
• “Are you proposing any upgrades soon?”
And yes – They asked if a reduced 5% VAT, and if they qualify for exemption from the Climate Change Levy (CCL). Just for being a small business with less than 33,000 kWh usage per year. This was a saving of about £50 per month which I previously did not know I could access.
✅ 1. Paperwork Processed (including landlord letters and identification and meter reads)
They contacted the previous supplier directly to show that the tenancy changed and I wasn’t going to be billed for the previous tenants usage.
✅ 2. Removed Me from Deemed Rates
They provided several competing quotes which accounted for business consumption patterns – so I received lower unit rates during the off-peak hours, and didn’t incur unexpected loading charges.
✅ 3. VAT / CCL Check
Because we used under threshold energy and were eligible for small service business E for Energy were able to reduce VAT and exempt from CCL – reducing monthly charge.
✅ 4. Follow On Support
I now have an account manager who contacts me in advance of the renewal to inform me of cheaper market options, so I no longer face surprises.
Here’s what I avoided, thanks to proactive help:
| Risk Scenario | What Happens Without COT Help? | How E for Energy Prevented It |
| No Day‑1 reading | Charged immediately for previous tenant’s usage | They submitted reading and avoided back billing for any previous charges. |
| Deemed contract | Charged up to 80% than their competing energy rates | They managed to hold out for broker only tariffs covered by COT. |
| Bev-forged tenancy change | Delays from the supplier or supplier refuses COT | They handled any objections and successfully chased supplier/corporate managers for a prompt response |
| Hidden VAT/CCL charges | Overpayment for unnecessary taxes or levies | Confirmed eligibility and checked if exemptions could be applied. |
📌 1. The first thing to do is take a picture of your meter read on your first day – and send it to the supplier. This is your first level of collateral to protect yourself.
📌 2. Find someone to do the negotiating with the supplier for you. As you will see, talking to people directly usually leaves you sitting, on capped rates or business energy contract errors.
📌 3. Watch out for hidden fees from brokers – but use regulated brokers. Many examples show microbusinesses have paid up to 10% more due to unlisted commissions for their broker.
📌 4. Check to see if you are eligible for VAT and CCL – some businesses will be exempt, and some will get discounts.
This gets missed most often and consistently is sources of savings.
📌 5. If you hit a wall, complain to Ofgem. Ombudsman decisions have quashed unreasonable bills and debt for business owners.
Results: My Garage’s Turnaround
Within a week:
• I transitioned to a specific fixed business energy contract – 35% lower than my old deemed rate
• I didn’t have to pay for consumption before I even landed.
• I got changes in VAT and CCL.
• And now, if things (something) goes wrong – the broker deals with it!
And all because, all I did was send a meter picture and E for Energy did the rest. They don’t charge you – they are commission paid by suppliers, and they won’t push you into a bad deal.
As with the examples I provided—whether it was a crew attempting to rescue a desperate restaurant in London left in the lurch with no notice, or a local butcher at risk of liquidation—being detached from your energy account can happen very quickly and lose you profit before you notice.
If you are opening or taking over a garage—or any small premises—treat every aspect of your energy use like fuel: it is important, but get the wrong mixture or an incorrect bill and it could stop you in your tracks.
Plug-in to the right energy products from day one with help from the experts.
Call E for Energy and explain your transfer of tenancy, then sit back while they do the rest. You concentrate on the grease and the gearboxes—let them manage the suppliers.