Loyalty doesn’t pay – switching is the way
The energy price cap increase kicks in on October 1. That means you need to switch now to beat the price hikes, as switches can take up to 21 days to complete.
It's a simple fact that if you’ve never switched energy supplier, you’re overpaying for gas and electricity. Even if you have switched supplier in the past, but you’ve let your fixed rate deal expire, your supplier will have rolled you onto a more expensive standard variable rate tariff, and you’ll also be overpaying for gas and electricity.
Why loyalty doesn’t pay with energy suppliers
Energy companies make their money from customer inertia. They know their customers are aware they should switch to a new deal, but probably think they don’t have enough time to make the switch.
If you’ve never switched energy supplier, or you’ve let a fixed rate contract expire, your supplier will let you languish on an expensive variable rate tariff, happily taking more money from you for the same energy you could be getting cheaper elsewhere.
It’s a business model that not only works for energy companies, but also insurance companies, particularly car insurers, and the only way to make sure you’re not overpaying is to switch to a better deal at renewal.
Why aren’t more people switching energy supplier?
There are all sorts of reasons why households don’t switch supplier, including:
- Switching supplier is too much hassle
- The savings aren’t enough to make switching worthwhile
- The energy price cap means you don’t need to switch
- You can’t switch when you’re in debt with your supplier
- You can’t switch if you live in rented accommodation
- You’re gas and electricity supply will be disrupted when you switch.
All of the reasons above are complete myths, and none should put you off switching supplier, as we explain in our blog: Energy Switching Myths – Busted!
Another reason is that many households are simply unaware of the increased costs related to the ‘loyalty penalty’, while a disproportionate amount of low-income families have never switched energy supplier, and they could potentially stand to make the biggest savings.
If this sounds like you, or someone you know, here’s how easy it is to switch energy supplier with UKPower.
How to switch energy provider
Comparing energy prices is simple with UKPower, and you can switch to a better deal on gas and electricity in the time it takes to boil the kettle.
To begin, enter your postcode and some details about your current supplier into our price comparison tool.
We’ll then show you the best deals currently available in your area (you may not realise, but energy prices vary depending upon the region you live in), so you can compare energy deals from a wide range of providers, including the Big Six and the smaller suppliers.
You then just need to choose the deal that’s best for you, and let us take care of the rest.
It really is that simple – we’ll let both your old and new suppliers that you’re moving, and within three weeks you’ll be switched to a cheaper rate on gas and electricity. And, as with most energy comparison sites, we won’t charge you a penny for using our electricity and gas prices comparison service, and we make our money through commission paid to us by the suppliers.
You can compare gas and electricity deals, also known as dual fuel, or compare gas price and compare electricity rates separately if you prefer. And you can make the switch whether you rent or own your home.
It’s important to make sure you don’t just choose your new energy deal on price alone, you should also consider the quality of customer service offered by your new supplier, and make sure you choose the tariff that’s right for you.
How to get the best energy deal
Switching energy supplier is a quick and simple way to knock hundreds of pounds off the cost of your annual energy bills – but with so many suppliers offering so many different tariffs, choosing the best one can be a bit tricky. The simplest way to see what deals are on offer is to run a price comparison with UKPower.
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Click here to run an energy price comparison, and see if you could be paying less for your gas and electricity.