UK care homes typically overpay 30-50% on energy — and many are paying 20% VAT when they qualify for 5%. We help independent operators reduce costs while keeping rooms warm, water hot, and care uninterrupted. Free health check. No switching obligation.
Your residents need warm rooms, hot water on demand, and clean linen every day. That's exactly why care homes get squeezed hardest on energy — but it's also why so much is recoverable. Six things we almost always find when auditing an independent UK care home.
VAT charged at 20% when 5% applies. The single most common — and biggest — error on care home energy bills. Up to 4 years of overpayment can be reclaimed.
Contracts auto-renewed at "deemed" rates that can be 2-3x the current market price. Most suppliers don't volunteer better terms unless asked.
Heating systems running outside occupied hours in common areas — lounges and dining rooms heated overnight when nobody's there.
Hot water cylinders cycling at temperatures higher than residents actually use, wasting gas on excess thermal storage.
Old commercial laundry equipment drawing significantly more electricity than equivalent modern machines on the same wash cycle.
Generic tariffs that don't match your actual 24/7 usage pattern. Care homes need supply structured around continuous load, not 9-to-5.
Under HMRC VAT Notice 701/19, energy supplied to qualifying residential accommodation — which includes most UK care homes — attracts the reduced 5% VAT rate. Many care homes are paying 20% by default because their supplier never asked them to submit the VAT declaration form.
What we check on every care home audit:
1. Are you on the right VAT rate now? If you're paying 20% on energy that qualifies for 5%, you're overpaying every single month. We help you submit the VAT declaration to your supplier so future bills are corrected.
2. Can you reclaim historical overpayments? HMRC generally allows backdated VAT claims for up to 4 years. For an established care home, the recovery can run into tens of thousands of pounds. We help identify the period that qualifies and support the documentation.
3. Are you also exempt from CCL on the qualifying portion? Climate Change Levy doesn't apply to energy supplied at the reduced VAT rate. Same form, same evidence — but two reductions on every kWh.
Care homes average a 32% reduction on optimised bills through the partner network — that's before any VAT correction. Drag to your real monthly spend and see your number.
Pre-set to UK care home industry averages.
Typical share of total energy spend for an independent UK care home, and the savings we usually find in each area.
Energy procurement is an administrative function. CQC regulates care delivery — which is completely unaffected. We've worked with multiple CQC-registered providers through our partner network.
What changes: The company that bills you for your energy. The unit rate. The standing charge. Sometimes the VAT rate (if you're moved to the correct one).
What doesn't change: Your physical gas and electricity supply. Heating to resident rooms. Hot water availability. Cooking. Lighting. Any aspect of care delivery. There is no engineer visit, no equipment swap, no resident impact. Your CQC compliance is unaffected.
For care homes, the four ways we deliver value — starting with the biggest one most operators are missing.
If you qualify for the reduced rate but are paying 20% — that's an immediate 15% reduction on every kWh, every month, in perpetuity.
15% bill reductionHMRC allows 4 years of backdated VAT recovery for qualifying care homes that have been overpaying. We help with the paperwork.
Up to £30k+ recoveryWe monitor wholesale prices and renegotiate before your contract auto-renews — care homes with continuous 24/7 load benefit most.
25-40% off unit rateClimate Change Levy doesn't apply to energy at the reduced VAT rate. Same paperwork as VAT correction, two reductions on every kWh.
+7-10% extra savingTakes 2 minutes. We come back to you within 24-48 hours with your audit, including a VAT eligibility check and reclaim potential estimate.
Includes VAT and CCL eligibility check. No credit check.
We confirm whether you qualify for the 5% reduced rate and estimate any backdated reclaim.
Send a bill, get a plain-English breakdown within two working days.
You pay nothing for the audit. We earn commission only if we save you money.
Supply untouched. Care continues exactly as before. CQC compliance unaffected.