Understanding Your Energy Bills: Why “Checking Them Yourself” Isn’t Enough
7th February 2026
Energy bills are often treated as something to quickly approve and move on from. But for care providers and charities, this can be a costly assumption.
While energy bills may look straightforward, they often contain hidden charges and technical settings that can significantly affect annual costs — and many organisations don’t realise this until an independent review takes place.
Most organisations look at their unit rate and total bill and ask:
“Does this look about right?”
The challenge is that you can’t see current market rates.
One large education organisation believed its energy pricing was competitive because rates were lower than the previous contract. However, when those rates were compared against the wider market, it became clear the organisation was still paying well above what was available — resulting in significant avoidable cost over the contract term.
Without access to live market pricing, meaningful comparisons simply aren’t possible.
Many care and charity buildings have kVA (capacity) charges applied to their electricity supply. These are typically set when the meter is installed and are rarely reviewed.
In one large organisation, electricity capacity had been set at installation and never reassessed. Analysis showed the allowance was far higher than actual demand, meaning the organisation had been overpaying for capacity since the day the meter went in. Correcting this reduced annual electricity costs by over £17,000 per year.
Reducing kVA incorrectly can cause supply issues — which is why this isn’t something organisations should attempt without detailed half-hourly data and specialist support.
Some care and charity organisations should only be paying 5% VAT on energy, not 20%.
We regularly see cases where VAT has been applied incorrectly due to:
In many cases, organisations have been overpaying VAT for years without any indication from the supplier that anything was wrong.
Energy bills show what you’ve already paid — not what you’re likely to pay in the future.
One organisation assumed its costs were stable because monthly bills looked consistent. A full cost forecast revealed that upcoming contract end dates and market exposure could significantly increase annual spend if left unmanaged.
That insight allowed the organisation to plan ahead rather than react later.
Understanding energy bills isn’t about effort — it’s about access to data, market visibility, and technical expertise.
Most care and charity organisations:
Independent cost analysis helps ensure:
Energy bills are not designed to highlight errors — and suppliers are not incentivised to find them for you.
For care and charity organisations, the biggest risk is assuming everything is correct because it looks reasonable.
A proper review doesn’t just identify savings — it provides certainty.
If you’re unsure whether your energy costs are fully optimised, it can be helpful to have an independent review carried out by specialists who work closely with care and charity organisations.
A proper cost analysis can highlight issues that aren’t obvious from a bill alone — and provide reassurance that nothing has been missed.