Five questions to ask about your energy broker

1. Are their fees transparent?

The vast majority of energy brokers will be earning a commission that is built into the supplier proposal they are recommending you accept. If their fees are truly transparent, you should know what that rate is. There is no such thing as a free service although there are many energy brokers who will market themselves on this basis.

2. How much commission have they earnt from me in the past 12 months?

If you are working with an energy broker that is completely transparent about their fees, ask them and they should be happy to tell you. Alternatively, ask them to confirm the annual consumption (in kWh) across your portfolio and their commission rate so that you can work it out for yourself. The figure may surprise you.

3. Do they offer good value for money?

A good energy broker will have a document that explains what services they are providing. Think about these services in the context of the commission they are earning and consider whether it is appropriate to the support they are providing.

Research who works for them and what relevant experience their key people can offer. Lots have energy experience, but relatively few have the expertise to deliver specialist tasks your business may require. If they are earning a reasonable commission, at the very least you should have a dedicated point of contact and access to a variety of reporting functions.

4. Do they do anything other than contract renewals?

A good energy broker should be providing a holistic service looking at all aspects of your energy and water expenditure. They should be on hand to provide support with any energy-related matter and leave you feeling confident that you are in safe hands. If that is not the case, something is wrong.

5. When did you last benchmark your arrangements?

In running a business, you will have lots of priorities and it is often easier just to leave things as they are. Not looking at alternatives could be costing you more than you think.