Effective from 1 April 2026, the National Energy System Operator (NESO) confirmed new capacity bandings for half-hourly electricity meters. While this may sound like a technical industry update, the changes could deliver significant cost savings for businesses with half-hourly electricity supplies, particularly those connected via transformers and currently facing high non-commodity charges.

For many businesses, standing charges (the charges you pay even before you use any electricity) are a substantial part of overall electricity costs, especially for larger supplies operating on low voltage (LV) and high voltage (HV) half-hourly meters. The revised thresholds announced by NESO are designed to better align network charging structures with actual capacity requirements, potentially moving some businesses into lower charging bands.

What are the new capacity bandings?

The updated thresholds will apply from 1st April 2026 and are as follows:

For Low Voltage (LV) Half-Hourly meters

• Band 1: 0 – 90 kVA
• Band 2: 91 – 150 kVA
• Band 3: 151 – 250 kVA
• Band 4: 251 kVA and above

For High Voltage (HV) Half-Hourly meters

• Band 1: 0 – 500 kVA
• Band 2: 501 – 1,100 kVA
• Band 3: 1,101 – 2,000 kVA
• Band 4: 2,001 kVA and above

Why does this matter?

The capacity band assigned to your electricity supply directly affects the standing charges applied to your electricity contract. If your supply moves into a lower band under the new thresholds, your daily standing charges could reduce significantly when your contract renews.

Potential savings could range from:

• £4 to £30 per day for LV half-hourly meters
• £50 to £250 per day for HV half-hourly meters

Over the course of a year, these reductions could represent substantial savings for energy-intensive businesses.

What happens next?

District Network Operators (DNOs) are expected to automatically update eligible meters to reflect the new bandings. However, businesses should not assume their supply has been assessed and automatically updated.

In some cases, historic capacity levels, outdated records or incorrect agreed supply capacities can result in businesses remaining in higher charging bands than necessary.

That means some businesses could miss out on savings unless their capacity and standing charges are properly reviewed

Important note. If you lock into a new contract while your banding is incorrect, you won’t be able to challenge it until your contract is up for renewal again.

How NFU Energy can help

At NFU Energy, we are already supporting businesses with these changes.

Our team can:

• Review your current electricity supply arrangement
• Analyse your agreed supply capacity and standing charges
• Check whether your meter has been placed in the correct banding
• Identify opportunities for cost savings ahead of your next renewal
• Liaise directly with your DNO where changes or corrections are needed

With electricity costs continuing to be a major focus for businesses across the UK, ensuring your supply is correctly banded could be a simple but effective way to reduce unnecessary costs.

Don’t miss out on potential savings

These changes came into effect on 1st April 2026 so before agreeing to a straightforward contract renewal, it’s worth checking whether your current agreed capacity and banding are still accurate.

If you would like NFU Energy to assess whether your business could benefit from the new NESO capacity bandings, get in touch with our team today on 024 7669 8885 or email [email protected]