Simple Steps for Smooth Switches

If you have considered switching your energy supplier in the past but put it off, there’s a good chance it was because you were worried about the hassle. However, Ofgem rules have changed to provide more robust support for consumers stuck in limbo between energy suppliers.

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Here’s everything you need to know about the new regulations designed to address delays in the switching process:

Switching Simplified

Transferring to a new electricity or gas supplier as a consumer is, contrary to popular belief, hassle-free. You can switch at any time, and your new supplier is responsible for managing the handover process. They aim to complete the process within five working days.

New Ofgem Rules

1. Compensation for Delays

From April 2024, if your new energy supplier exceeds the five-day timeframe for switching, they are obligated to compensate you £30. This compensation is processed automatically, and you won’t need to take any action to receive it.

The amount will be credited to your energy account balance or directly to your bank account.

2. Additional Redress

Beyond the initial £30, you may be eligible for further compensation from your energy supplier in some instances. This could include prolonged delays or if a supplier switches you without your consent. It's worth contacting your provider to explore the possibility of claiming extra compensation.

3. Unpaid Amounts

If your energy supplier fails to pay the compensation owed to you or doesn't send the correct amount, you can take action. Visit Ofgem’s complain about your energy supplier resource to learn how you can ensure your concerns are addressed promptly and fairly.

Don’t let delays deter you from switching to a better energy deal. With these compensation rules in place, you can switch suppliers with peace of mind, knowing you’re protected against unexpected setbacks.

For more information on the switching process and compensation regulations, visit Ofgem’s switch energy supplier page.

Benefits for Consumers

Introducing these new rules for delayed energy supplier switches brings several advantages for consumers across the UK.

Enhanced Consumer Rights

Ofgem’s rules reinforce consumer rights and provide a safety net for individuals in the switching process. Knowing that compensation is guaranteed during delays empowers consumers to exercise their right to choose the best energy deals without fear of inconvenience or overcharging.

Increased Accountability

By mandating compensation for delays, energy suppliers are incentivised to streamline their switching processes and minimise disruptions. This bolstered accountability ensures that suppliers strive for efficiency, ultimately benefiting consumers.

Financial Protection

For the majority of British households, energy bills make up a big slice of the monthly expenses pie. The assurance of receiving £30 compensation in case of delays provides a financial cushion and mitigates any potential financial strain.

Encouragement of Competition

The availability of compensation fosters a competitive landscape among energy suppliers in the UK market. In striving to attract and retain customers, suppliers are incentivised to offer efficient switching services and competitive tariffs.

Confidence to Switch and Save

Safe in the knowledge that compensation is guaranteed in case of delays, consumers are more likely to explore different energy deals and switch to providers offering better rates. This increased confidence in the switching process promotes market competition and encourages innovation within the UK energy sector.

How Can I Save Money on Energy Bills?

With uncertainty over high energy bills and the current state of the UK energy market, consumers are looking for ways to save money on their energy more than ever. At UKPower, we can help you compare gas and electricity suppliers to find the cheapest energy prices, switch to a better deal and cut the cost of your energy bills.

Click here to run an energy price comparison, and see if you could be paying less for your gas and electricity.