Drax Energy Out of Contract Rates – Avoid High Costs & Find a Better Deal

Thomas McGlynn • 3 March 2025

Is Your Business Paying Too Much on Drax Energy’s Out of Contract Rates?

If your contract with Drax Energy has expired or is coming to an end, your business could be facing significantly higher out-of-contract (OOC) rates. These rates are not fixed and can change at any time, meaning you could be overpaying compared to businesses on fixed-term agreements.


Why Are Out of Contract Rates More Expensive?


๏ปฟWhen a contract ends and no new deal is arranged, suppliers move businesses onto out-of-contract rates, which are:


  • Unstable – These rates are subject to change at any time.
  • Much higher than fixed rates – Businesses end up paying a premium.
  • Subject to additional costs – Including standing charges, metering, and distribution costs.


Let’s examine Drax Energy’s latest out-of-contract rates and how they compare to previous rates.

๐Ÿ“Š Drax Energy’s Latest Out of Contract Rates (with % Increase)

โšก Electricity Out of Contract Rates (Profile Classes 1-8)

Date Range Day Rate (p/kWh) Standing Charge (p/day) % Increase (Day Rate) % Increase (Standing Charge)
01 October 2024 - 31 Dec 2024 37.28 300 - -
01 Jan 2025 37.79 250 +1.37% -16.67%

โšก Electricity Out of Contract Rates (Half-Hourly – Profile Class 0)

Date Range Day Rate (p/kWh) Standing Charge (p/day) % Increase (Day Rate)
01 Oct 2024 - 31 Dec 2024 29.26 See Notes*** -
01 Jan 2025 31.53 See Notes*** +7.76%

๐Ÿ“Œ Note: Half-hourly metered customers also pay additional pass-through charges for Metering, Data Aggregation (DA), Data Collection (DC), Half-Hourly Availability Charge (HHAC), and Reactive Power at cost.

โš ๏ธ Why Avoid Drax Energy’s Out of Contract Rates?


โŒ Higher Bills


Drax Energy’s latest OOC electricity rates have increased, with the half-hourly rate rising by 7.76%. This means businesses could see a sharp increase in their energy bills if they do not secure a fixed contract.


โŒ No Price Stability


These rates can change at any time, with no prior warning. Remaining on OOC rates leaves your business exposed to unpredictable cost increases.


โŒ Additional Charges Apply

๏ปฟ

  • Standing charges remain high, even though they have slightly decreased for certain profile classes.
  • Half-hourly metered customers pay extra for metering and data services.
  • DUoS & TNUoS charges are passed through at cost, adding further expenses.

๐Ÿ” How to Avoid Overpaying on Drax Energy’s OOC Rates


โœ… 1. Never Let Your Contract Expire Without a New Agreement


Always renew or switch before your contract ends to avoid being moved onto OOC rates.


โœ… 2. Check Your Renewal Letters Carefully


Suppliers often send renewal offers, but these may not always be the best rates available. Compare these quotes before committing.


โœ… 3. Compare Fixed-Term Rates with a Trusted Broker


Fixed-term rates are almost always cheaper than OOC pricing. We compare 25+ suppliers to secure the best deal for your business.


๐Ÿ“Œ Remember: If you do nothing, you could end up paying significantly more than the standard published rates.

FAQs About Drax Variable Rates


  • What happens if I do nothing after my Drax contract ends?

    If you don’t renew or switch, your contract will move to Drax’s Variable Rates. These are higher than fixed-term rates and less predictable, as they can change at any time.


  • Can I leave Drax Variable Rates without notice?

    Yes, you can switch suppliers at any time while on Variable Rates without providing notice. However, you’ll need to settle any outstanding balance before switching.

  • What are pass-through charges, and how do they affect my bill?

    Pass-through charges include DUoS, TNUoS, HHAC, and other costs incurred for maintaining the distribution and transmission networks. These charges are applied at cost and vary depending on your meter type and usage.

  • How can I avoid Drax Variable Rates?

    Contact us before your contract ends to explore fixed-term contract options or switch to a supplier offering more competitive rates.

๐Ÿ“ข Secure a Better Deal Today – Don’t Get Caught Paying High Rates!


๐Ÿ“ž Call: 0151 459 3388
๐Ÿ“ง
Email: info@smart-energy.uk
?? Get a Quote: smart-energy.uk/free-business-energy-quote


๐Ÿšจ Act now if your contract has ended or is expiring soon – avoid overpaying on Drax Energy’s out-of-contract rates.

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