The past few months have seen some good savings for golf clubs, with York Golf Club being the biggest saver! Mike Wells the Managing Secretary at York GC said this…..

“James and the team at GMG Energy Club have recently been helping with our gas and electric contracts and I am delighted to say they secured us significant savings in both cases on new three-year contracts. I have a happy Finance Director who can now rest better at night, what more could I ask for; thanks James and team. GMG have previously provided help negotiating new Waste Disposal contracts and we are also discussing Solar Panel installations as well. If any other club managers are wondering where to go for help in these things, GMG have certainly done us proud and I am sure could help you”.

Since the removal of the Energy Bill Relief Scheme at the start of April clubs have been looking to enter new contracts. Those who were staying out of contract, waiting for the market to decrease, saw large increases in their rates in April. This is due to the government help dropping to 1.961 p/kWh on electricity and 0.697 p/kWh on gas, only when the wholesale prices secured was higher than £302 per MWh and £107 per MWh respectively. As the current wholesale price is lower than this, people out of contract stopped receiving any deductions.

One of the biggest questions clubs are asking the GMG Energy Club is “how long to fix for?” 

There is a lot of talk as to where the market is going to go. The GMG Energy Club get market reports daily with market forecasts, many are now expecting the market to start increasing again. The below is a couple of indicative curves stating where the market is expected to go. 

Both the gas and electricity predictions are expecting the market to be higher for the next 3 years, with hopes we will see reductions starting in 2026. On the back of this, we are advising clubs to secure 2-to-3-year FULLY FIXED deals. This gives clubs much more budget security, and they can forecast costs going forward. The benefit of going FULLY FIXED stops any mid contract shocks with no mid-term price increases.

Does your energy contract end in the next 12 months?

The GMG Energy Club are here to help. There are hundreds of energy tariffs available and many suppliers to choose from. A lot of these don’t include future non-commodity increases, such as TCR costs. At the Energy Club, we pride ourselves on being transparent about all costs, and only offer Fully Fixed tariffs, so there will be no shocks with rates going up during the contract period. If a club requires green or renewable sourced energy we have a wide range of suppliers now offering options. 

*market report graphs are sourced from Shell Energy.