Four Of UK's Big Six Energy Suppliers To Stop Automatic Rollover Business Contracts

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Four of the UK's big six energy suppliers have announced that they'll no longer be using automatic rollover business contracts.

ScottishPower, E.On, SSE, and nPower have followed the lead of British Gas, who were the first company to announce they'd be ending the use of automatically renewed business contracts in July.

ScottishPower stated that it will cease selling the contracts to new small businesses from next April (2014), whilst existing customers would benefit from the switch over later on in 2014.

The latter three - SSE, nPower and E.On - have revealed  that they'll also discontinue the practice from April, instead offering a selection of fixed and variable term products.

British Gas announced its move - back in July - and stopped selling the contracts at the start of this month (September 1). It now offers fixed-term business energy products that don't feature an automatic renewal.

Commenting at the time, managing director of British Gas Business, said: "At British Gas, we are committed to leading the way in making the sale of energy simple and transparent for all our customers.

"Increasing numbers of our small business customers have told us they don't like the way the energy industry automatically moves them onto new contracts, so we've decided we will lead the way and put an end to this practice for our customers," Mr Beynon added.

EDF Energy, however, has confirmed that it won't be halting the practice. It has, though, said that it will offer fixed energy prices with no exit fees to those small businesses that find themselves automatically rolled over.

The majority of the UK's big six energy suppliers are partaking in the Green Deal. The Green Deal is government initiative which allows customers to receive funding for the installation of energy efficient measures - such as a new gas boiler and loft insulation. However, rather than having to pay back the funding in one lump sum, customers can pay it back in smaller amounts through their energy bills.

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