Change Of Tenancy Explained

Moving premises? Find everything you need in this guide to transfer or switch energy suppliers.

 

 

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How To Manage Business Energy When Moving Premises

Moving premises can be stressful, and navigating the change of tenancy process adds a new layer of difficulty to an already hectic situation. Regardless, you need to set up a new business electricity supply as soon as possible.

To streamline the process, the Switch Whiz experts have created a guide that covers everything you need to know about CoT letters and switching suppliers between premises.

What Is A Change Of Tenancy (CoT)?

A change of tenancy is a process businesses must complete when moving into or out of a new premise, including changing over any gas and electricity supplies. There are two types of CoT, incoming and outgoing:

  • Incoming CoT: Incoming Change of Tenancy is when you take over a new energy supply as you are moving premises/ location.
  • Outgoing CoT: Outgoing Change of Tenancy is when you end your energy contracts with your supplier at your current premise before you move out/ relocate.

You must inform your energy supplier whether you are an incoming or outgoing CoT, that you will be moving premises or relocating. You simply need to fill out a change of tenancy form with your energy supplier, which includes your business name and your landlord's details.

As a SwitchWhiz customer, we will handle any change of tenancy processes, allowing you to move seamlessly to your new location.

Will My New Premises Have Power?

One of the most common questions we get is, “When I change premises, will my new business electricity supply be up and running?”

If your new premises are brand new and previously unoccupied, there will be no existing energy supply. To secure gas and electricity, you must survey the market, find a supplier, and sign a contract as quickly as possible.

However, if a previous tenant occupied your new premises, the supplier will continue to provide energy. When you get to your new premises, you can turn the lights on, set the kettle to boil, and start unpacking your business.

If you have not entered into a contract with the current supplier (or chosen a different, more affordable supplier) you will be put on a deemed tariff.

Deemed Energy Rates Explained

Deemed tariffs are commonly known as the most expensive option. Energy suppliers have full authority to charge whatever they please for deemed rates.

No one chooses a deemed tariff; instead, business owners who move to new premises without signing a new contract are automatically charged deemed rates. You don’t have to agree to deemed rates, as soon as you start using the energy supply (without agreeing to a contract) you are responsible for the bill.

The only advantage of deemed tariffs is that you don’t have to give notice and there are no exit fees. The sooner you can switch from a deemed tariff to a standard or variable-rate tariff, the better.

To speed up the switching process, use our energy supplier comparison tool.

How To Set Up New Business Electricity Supply On Your Premises

If the new building is supplied by your current supplier, you need to tell them about your new address as soon as possible. If you fail to inform them, your business could be responsible for charges from the new tenant in your previous building, or the previous tenant in your new building.

Once you have told your supplier about the move, they will give you a change of tenancy (CoT) energy form. You should include information about your business address and the date you want to move in the form.

To prove that you are moving premises, you need to provide your supplier with one of these four documents.

  • Confirmation from your estate agent
  • Confirmation from the landlord
  • Confirmation from the solicitor
  • A copy of the mortgage completion letter

If you are unsure which CoT form you need to provide, just ask your supplier.

What If The Premises Has A Different Supplier?

Getting to grips with a new business electricity supply is a bit trickier.

The first thing you should do is contact your current energy supplier and tell them you are moving to a new location and switching suppliers. You will find out whether your current supplier does supply to that area, and if so, you can negotiate a new rate.

If this isn’t possible, your old supplier might still need a few bits of information.

  • Your new location
  • An explanation of why you are leaving
  • Who will occupy your new premises

Once that is all done, you can start searching for a new supplier. Alternatively, you can find out which supplier operates at your new premises, discuss rates, and sign a contract with them.

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What Is A Change Of Tenancy Energy Letter?

Before you set up your new business electricity supply, you need a change of tenancy letter. This is a formal document that informs your new and old suppliers of your intention to leave.

You can download a change of tenancy energy agreement online.

Moving Out Of Premises Checklist

Before you leave your old business premises, you need to check you have completed the following:

  • Take pictures of your gas and electricity meters
  • Send the pictures to your old supplier and retain them for your records

When you have closed your account with your previous supplier, they will either refund you the balance on your account or send a bill for whatever you owe.

How To Find An Energy Supplier For Your New Premises

Whether you are switching to new premises or just hoping to save money on your existing energy bill, it’s always a good idea to survey the market.

Our intelligent algorithm makes it easier than ever to find a new business electricity supply. Just input a few details, wait for a couple of minutes, and let us find a supplier for you. It takes just a few minutes.

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Change of Tenancy with SwitchWhiz

SwitchWhiz is a business energy broker, and that means we can take the hassle out of switching business energy suppliers for you. Our team of energy switching experts will fill in all the required paperwork for you, and we only need your signature at the end. You can move in or out of your business premises with confidence, and your business energy contracts will all be managed.

Change Of Tenancy Energy FAQs

Who Is My New Energy Supplier?

So, which supplier is behind your new business electricity supply?

To find your new gas supplier, you need to use the Find My Supplier search tool. For information on your new electricity supplier, use the Energy Network Association search tool.

How Do I Write A Change Of Tenancy Energy Letter?

The good news is that you don’t need to write your change of tenancy energy letter. There are plenty of templates available online.

Here are the things that you need to include.

  • Date of the move
  • Forwarding business address
  • Final meter readings
  • Landlord contact details

Will My New Supplier Contact Me?

If the previous tenant submitted your details, your new supplier might reach out. However, there is no guarantee that your new business electricity supplier will contact you.

We always encourage business owners to take a proactive approach. If you want to avoid deemed rates, you need to contact your new supplier and sign a new contract as soon as possible.

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