With so many problems associated with switching to a new energy supplier, can you afford to become a victim?
There’s a new problem which never existed before 26th November 2016. An energy supplier actually went out of business. This was a new energy supplier who offered very low prices through online switching. Obviously too low, that they couldn’t sustain it!
There are many pitfalls that could arise when you switch to a new supplier. This is mainly down to the ability of the new supplier being able to cope with things.
You can avoid the pitfalls if you do proper research into the energy suppliers and your new chosen tariff. It doesn’t always pay to jump in on the cheapest tariff shown on the comparison sites. In fact, many of the comparison sites don’t even offer a switching service for the cheapest tariffs. This is because the supplier has chosen not to pay the comparison site a fee for the switching process. This is a sure indication that they are working on very tight margins. This is also an indication that they could be making cut backs in other areas which could also affect customer service and, other energy related services!
There’s a lot of new energy suppliers offering cheap online prices. This all looks very good on paper. But what if it goes wrong? You may be lucky and, have no serious issues with a new supplier. I’m not saying they will all screw things up. But, my experience in the energy business indicates that new suppliers have quite a learning curve.
The more established energy suppliers have many departments in place to handle each individual aspect of running an energy company. Billing, metering, purchasing, customer service, finance, energy switching, sales, weather forecasting and, much more.
A new supplier can start with one person trying to handle the whole process of running an energy company. Then growth happens because of low internet prices. With growth, comes more staff, new premises, higher overheads. Then they need to increase their prices to pay for all of this. Then disaster. They increase their prices, then customers leave them.
We have already done all the research and, we keep the suppliers and their tariffs up to date.
You can see the latest performance figures here
The ball’s in your court, but I would switch to one of the following suppliers cheapest online tariffs.
There are other suppliers with positive results, but they don’t offer cheap online prices.
SSE* includes these suppliers: SSE, Scottish Hydro, Southern Electric, SWALEC, Ebico, Atlantic, M&S Energy.
Sainsburys** is provided by British/Scottish Gas. They promote cheaper online tariffs through the Sainsburys brand.
If you are going to switch to a cheaper online energy deal, then use one of the Ofgem Accredited sites. They are governed by a strict set of rules which put the consumers needs first!
This is a full list of the Accredited sites
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