Cut utility costs in shared properties. Save £500-£3,000+ annually with HMO-specific energy strategies for bills-included rentals and multi-tenant properties.
Contact UsMultiple tenants = simultaneous cooking, heating, washing. Consumption 2-3x higher than single households requires specific tariff comparison.
Most HMOs operate "bills included" arrangements. Landlords bear 100% of energy costs, making efficient tariffs essential for profitability.
Many HMOs require commercial energy contracts without price cap protection. Poor choices here increase costs 20-40%.
Regular turnover triggers void periods and deemed tariffs. Each change can cost hundreds without active energy management.
Often cheaper if HMO qualifies
✅ Standard domestic meter required
✅ Solely residential use
✅ Ofgem price cap protection
✅ Safer for many smaller HMOs
CHECK ELIGIBILITY FIRST
Sometimes required for HMOs
✅ Commercial classification
✅ Business meter installed
✅ Serviced/short-let operation
✅ No price cap protection
COMPARISON CRITICAL HERE
Compare total cost including standing charges and unit rates. High HMO consumption means even 0.5p/kWh differences add £500+ annually. Fixed tariffs with 1-3 year terms provide optimal balance for bills-included arrangements, protecting margins from market volatility.
| HMO Size | Typical Annual Energy Cost | Landlord Management Required |
|---|---|---|
| 3–4 Tenants Small HMO |
£2,000 – £3,000 | Regular tariff reviews. Domestic/business eligibility check essential. |
| 5–6 Tenants Medium HMO |
£3,000 – £4,500 | Business energy likely required. Quarterly comparison recommended. |
| 7+ Tenants Large HMO |
£4,500 – £6,500+ | Complex commercial contracts. Professional procurement advised. |
Typical 5-tenant HMO: Deemed tariffs cost 40-50% more than competitively sourced rates. Postcode-specific comparison saves £1,400+ annually.
If energy isn't actively managed: HMO defaults to deemed tariff • Unit rates increase 20-40% immediately • No supplier competition • Even short void periods cost hundreds • Tenancy changes trigger automatic deemed rates • HMOs suffer this repeatedly without active comparison.
RECOMMENDED FOR HMOS
✔ Predictable monthly costs
✔ Protection from price spikes
✔ Easier "bills-included" budgeting
✔ 1-3 year terms optimal
SAFEST FOR HMO LANDLORDS
HIGH RISK FOR HMOS
✖ Prices change without notice
✖ Impossible margin management
✖ Rarely cheapest long-term
✖ Budgeting uncertainty
AVOID FOR BILLS-INCLUDED HMOS
Properties default to expensive deemed rates during tenant changes. Many landlords don't switch, costing £200+ per void period.
Using domestic comparison for commercial HMOs or business comparison for eligible domestic HMOs. Both errors increase costs 20-30%.
Focusing only on unit rates. HMO standing charges matter significantly for properties with continuous baseline consumption.
Using traditional brokers who add hidden 0.5p-2p/kWh commissions. These add £500-£2,000+ annually to HMO energy costs.
Start comparing 2-4 months before fixed tariff ends. Avoid automatic rollover to expensive rates with 30-90 day notice periods.
Compare immediately when property empties. Deemed tariffs apply within days, costing hundreds monthly if unaddressed.
When adding/removing tenants, consumption patterns change. Re-evaluate tariff suitability for new occupancy levels.
Monitor wholesale markets. Significant drops (10%+) may justify early switching if savings outweigh exit fees.
Small HMOs (3-4 tenants): £500–£1,000/year | Medium HMOs (5-6 tenants): £1,000–£2,000/year | Large HMOs (7+ tenants): £3,000+/year
Compare HMO-specific energy tariffs today. Manage multi-tenant consumption, avoid deemed tariff traps, and protect your rental margins with strategic energy procurement.