5 million looking for cheaper gas and electricity

More than five million domestic energy customers looking for cheaper deals switched suppliers in 2007, according to regulator Ofgem.

The figure was the highest for five years and came ahead of the latest raft of gas and electricity price rises.  The “vigorous competition” in the industry has resulted in Scottish and Southern Energy becoming the second biggest energy supplier in Britain.

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Ofgem claims that 5.1 million households switched supplier in 2007, compared with 4.8 million during the previous year and 4.3 million in 2005.
The regulator said that there was competition over tariffs, including fixed-rate deals, online account deals and green electricity tariffs.

It claimed that, on average, anyone yet to switch and who paid by cheque, cash or plastic could save £92 on their annual bill.

All of the big six energy suppliers have raised gas and electricity prices for domestic customers in 2008, often by double-digit percentages, pushing the average annual household bill above £1,000.

Consumer group Energywatch said that the good news on switching should not mask the issue of rising bills.

“For millions more consumers switching to a cheaper tariff is either fraught with difficulty or just plain impossible,” added Adam Scorer, Energywatch director of campaigns.

“No-one can seriously think that switching, by itself, provides the answer for Britain’s besieged energy consumers.”

changing your utility supplier

 Changing your Utility Supplier - Cheaper Gas - Cheaper Electricity 

There are two ways to cut energy costs; use less and pay less for what you use.

When you switch, only the price really changes

The pipes, circuits and wires, safety coverage and gas and electricity flowing through the house are all the same. Only customer service, billing and, most importantly, prices change; the new supplier performs the switch; all you do is take a meter reading.

The savings also depend on how you choose to pay:

 Direct Debit is cheaper.

Fixed monthly direct debit payments (where you pay a fixed estimate each month) save you up to 10% as companies are sure you won’t default, and they earn interest on any overpayments (which should be refunded at the end of the year). Yet if you pay by variable Direct Debit, always ensure you call in a meter reading after a bill, don’t rely on their estimates.

 Dual Fuel isn’t always cheaper.

Logically dual fuel (gas and electricity from the same supplier) should be cheaper and it often is, yet not always. During your comparison, also compare the cost of the cheapest dual fuel supplier with separate cheap gas and cheap electricity suppliers. 

Even if you’re on a prepayment meter you can switch and save.

Those who have prepayment meters can still switch and save, the comparison services allow you to see who offers the cheapest prepayment charges. Yet if you can switch away from a meter (it’ll often be credit scored) do so, as that’s much cheaper.

So how do you Compare?

We could list every Utility supplier here in a long list, not only would you suffer from such a list, the truth is, you just wouldn’t bother. Uswitch offer a service which allows you to compare prices from Utility companies at a few clicks of a button. It’s fast, easy and could save you £££s.

 Looking to Compare Business Utility bills? Click here for more details