NLR x Troo: How clubs can read their energy bill to reduce costs

Do you understand your energy bill? If your answer is no, you’re not alone.

In May 2026, more than one in five businesses said they did not fully understand what makes up an energy bill, according to UK energy regulator Ofgem.

Understanding what you are being charged for can help you keep track of your business’s energy costs and make informed decisions about your energy arrangements.

Here are some of the key terms you may come across on a business energy bill.

How to read your business energy bill

Standing charge

What is it? A daily fee paid regardless of whether you use energy or not.

Why you need to know: These charges have been rising, in part to fund national energy network maintenance.

Unit rate

What is it? The cost per unit of energy used, measured in pence per kilowatt-hour (kWh).

Why you need to know: You will be charged for every unit of energy used, so it’s important to know whether your rate is competitive.

Contract length (term)

What is it? This is how long your energy agreement or contract lasts.

Why you need to know: Different contract lengths offer different levels of price certainty and flexibility. The terms of each contract should be considered carefully before making a decision.

Out-of-contract rates

What is it? These are the charges that may apply if your contract ends and you do not agree a new arrangement.

Why you need to know: The rates that apply after a contract ends can differ significantly from those available under a fixed-term or other agreed arrangement, so it is important to understand what happens when your contract expires.

Termination notice period

What is it? This is the amount of notice you may need to give your supplier if you want to leave or change your contract.

Why you need to know: If you miss this deadline, you could be automatically rolled onto a more expensive deal.

Early termination fees

What is it? Charges that may apply if you leave a contract before the agreed term ends.

Why you need to know: Check your contract to understand whether any charges could apply before making a decision to end an agreement early.

Pass-through costs

What is it? These are charges added to your bill for things like network maintenance and government levies.

Why you need to know: Some contracts allow these costs to vary, which could lead to unexpected increases in your bill.

Billing type (estimated vs. actual)

What is it? Your energy bill may be based on estimated readings if your meter isn’t regularly updated.

Why you need to know: Estimates can lead to overpaying or underpaying, followed by adjustments later.

VAT and other taxes

What is it? Government taxes and levies applied to your bill.

Why you need to know: The VAT treatment of energy can depend on your circumstances. Some businesses may qualify for a reduced VAT rate of 5%, while the Climate Change Levy (CCL) may also apply in certain circumstances.

Making informed decisions about your energy

Energy is complex. 

Businesses, including rugby clubs, should review their own circumstances and contractual terms carefully and make their own independent decisions about their energy arrangements.

National League Rugby’s sponsorship with Troo is helping to simplify key information to allow clubs to make smart decisions that manage costs and lead to real change.

As part of our relationship, Troo are offering clubs a free energy health check for practical advice on business electricity, gas and water procurement, renewable consultancy and their ongoing management services.

For further information about Troo, contact Sean Gleeson: sean.gleeson@troocost.com

Make sure you follow National League Rugby on social media!

Twitter | Facebook | Instagram | LinkedIn | TikTok | Threads