The government has signaled a radical shake-up in the amount of time it takes to switch energy, pledging to cut switching to 24 hours by 2018. Currently it takes about 17 days for a switch to go live with a new supplier.
The move follows an investigation into the energy industry by the Competition and Markets Authority (CMA) which revealed that 56 per cent of households in the country had never switched their energy supplier. With the standard tariffs these households will be on costing hundreds more than the cheapest deals on the market it is clear that energy companies have cashed in on this disengaged segment of the market.
While any move to simplifying switching energy is a step in the right direction, it still requires households to take the baton and compare and switch to a better deal. For those that feel intimidated or are unsure how to switch they will still be out in the cold. Clearly the public needs to realize that switching is simple, and won’t affect your supply.
The best way to approach your arrangement with your energy supplier is the same way you would approach any other consumer good, shop around and often. Suppliers are keen for new business and will offer deals to get it, the only thing you get from loyalty in the energy industry is a bigger bill.