How to Switch Energy Suppliers

How long have you been with your energy supplier? Many of us often wonder if we are getting the best deal yet making the switch to a new electricity or gas company is a daunting thought. How easy is it to compare one supplier to another? And can we really believe what their representatives say?

With energy watchdog Ofgem revealing it is to investigate four of the UK’s leading suppliers for allegedly breaching selling rules, it’s a topical dilemma. Many consumers who change supplier do so after being contacted by a salesperson. But many find themselves on a more expensive tariff because they were misled or found it difficult to compare bills. To cut down on mis-selling, Ofgem has brought in tougher regulations under which suppliers must detect and prevent mis-selling face to face and over the phone. They must also provide potential new customers with written estimates and, in most cases, show a comparison between the new and current deal.

If you want to switch, advice group Consumer Focus recommends visiting the website of the supplier you would like to switch to or phoning them. You can also use a price comparison tool, such as the one found at www.consumerfocus.org.uk. If you are approached on your doorstep or over the phone, get as much information as you can. You should be offered a cooling-off period for any agreement made following an unsolicited call and details of where to get impartial advice should be given. Don’t forget, your current supplier won’t want to lose your custom so ask them if they can offer a cheaper deal to persuade you to stay.
Find out how much electricity and gas you have used over the last year by checking your bills rather than relying on estimates from the potential new supplier. It is usually cheaper to go “paperless” and pay by monthly direct debit, rather than paying by cheque each quarter. Other things to ask include whether there are penalties for cancelling a contract, whether there are any hidden charges and how many complaints the supplier receives. A performance table is again available on the Consumer Focus website.

Once you’ve switched, don’t switch off! Tariffs change and the best deal now might not be so competitive in six months’ time. Make a note in your diary for a future review and get ready go through the whole process again. An hour of your time could add up to pounds in that bank account – yours, not the supplier’s!

If, in the meantime, you think you have been mis-sold a tariff, call Consumer Direct on 08454 04 05 06 and staff will pass on the details to Ofgem.