Rollover Contract

Key takeaways

A rollover contract typically happens when your fixed deal ends and you don’t agree new terms in time.

If you’re a microbusiness, rollover contracts are limited and you have additional rights to exit.

Knowing your end date and renewal process is the best prevention.

What is a rollover contract?

In business energy, “rollover” usually means you’re moved onto a new set of terms after your current contract ends because you didn’t renew, switch, or terminate correctly.

Ofgem’s non-domestic consumer advice notes rollover arrangements can apply where you haven’t agreed a different contract before the end date, and it highlights specific protections for microbusinesses.

Microbusiness rule to know

Ofgem’s guidance for microbusinesses states that where a rollover applies, the contract can’t last more than 12 months for microbusiness customers.

How to avoid rollover

1. Track your end date.
2. Act during your renewal/termination window (see terms below).
3. Get renewal terms in writing and compare total cost.

Sources

1. Ofgem: Non-domestic consumer advice (rollover explanation and microbusiness 12-month limit)
2. Ofgem: Microbusiness renewal factsheet (renewal letter timing and termination notice limits)