Want to know how to switch gas and electricity suppliers? You’re not alone… By November, nearly 5.5 million customers switched suppliers in 2020.
With global trends pointing to green energy practices, and pockets hit hard by the COVID-19 pandemic, switching business gas and electricity suppliers can help ease expenditure.
Your business can save up to 40% on its gas and electricity tariffs. Here’s how to switch gas and electricity suppliers and save.
Just how many people have switched to save?
2020 was a year in which businesses were hard hit by the economic ramifications of the COVID-19 pandemic. Despite the distractions presented by these difficult times, switching energy suppliers has remained an important way for businesses and individuals to cut costs.
Here’s how many people have benefitted from switching gas and electricity suppliers in 2020:
Nearly 5.5 million customers switched electricity suppliers by November 2020, with 490 460 customers switching suppliers in the month of November alone.
While these numbers are down year-on-year (6.5% and 2.5% respectively), much of this can be attributed to the impact of COVID-19 during this difficult year. With many working from home, and businesses operating with fewer employees in the office, now is a good time to do the research and determine how you could benefit from switching.
Emma Pinchbeck, Energy UK’s chief executive said:
“Even in a year where people’s attention has understandably been on other issues, nearly 5.5 million customers have switched during 2020.
With winter here and many of us spending more time indoors due to the ongoing restrictions, it’s well worth spending a few minutes to check you’re on the best deal – either by contacting your own supplier or shopping around to see what’s offer in a very competitive market.”
While it may seem daunting at first, the process of switching gas and energy suppliers is simple.
How to switch gas and electricity supplier
- Check if your business is within its contract renewal window period.
- Go online, phone, or shop around to get business energy quotes from suppliers.
- Compare these business energy quotes and assess which best suits your business’ needs. Remember to include the standing charge in your comparison.
- Apply for the new gas and electricity tariff with the new supplier.
- Let your current supplier know that you will be switching business energy contracts.
- The switch will take effect once your current business energy contract has ended.
We know that time and resources are precious to SMEs. Whilst potential savings may sound attractive, the process of acquiring and comparing electricity quotes can be confusing and time-consuming. As an independent consultancy, Smarter Business are here to help.
Aside from cost-savings through switching suppliers, Smarter Business can also provide full energy efficiency audits which identify areas of energy usage and reduction to drive down costs and reduce carbon emissions. Contact an energy expert today: Contact Us
All you’ll need to get a quote is:
- Your current energy bill (to check your current tariffs and average monthly consumption)
- Business size and type (you may be eligible for VAT and CLL discounts)
- Your postcode
- Gas and electricity supply numbers
How long does it take to switch energy suppliers?
We know that moving onto a new energy contract can save your business money, but how long does it take to switch energy suppliers?
Many small businesses are concerned about how long it takes to switch suppliers, but they needn’t be. Moving to a new deal and/or a new supplier is more straightforward than you may think. Not to mention that you could save hundreds, or even thousands, of pounds per year.
It generally takes 17 days to switch energy suppliers, with a cooling-off period of 14 days.
You will receive the first bill from your new supplier three months after your switch takes place. For once, you can actually look forward to receiving your bill so that you can see your new savings.
When you can switch suppliers
Although you can switch suppliers at any time, you may incur a penalty from your existing supplier if you aren’t in the switching period of your contract. For this reason, it’s advisable to wait until near the end of your contract or when you move premises.
You can be placed into a new contract 120 days before the end of your current one, but bear in mind that it can take 28 days to process the change – don’t leave it until the last minute.
How to change electricity supplier and save
Switch business energy supplier and save – more than ever before, the UK’s evolving energy marketplace and competitive nature provides the opportunity for potential savings. Despite this fact, millions of households and businesses in the UK are paying more than they need to for their gas and electricity, some without even realising that they are on the least cost-effective energy deal available. And although a record number of consumers switched their gas suppliers in 2017 (33%), there was a surprising drop in customers who swapped electricity providers.
Recent research has revealed that loyal Britons are leaving an extra £3.5 billion in the hands of energy suppliers. In households around the UK alone, 60% miss out on an average savings of £290 per year by not shopping around and switching away from Standard Variable Tariffs (SVTs), which are usually the most expensive deal offered by energy suppliers. In businesses with larger energy bills, the scaled potential savings are even higher when they switch business energy supplier and move away from SVTs.
There are over 60 energy companies in the UK alone, which means that competition to provide lower tariffs for the same products is rife. The average SVT of the ‘big six’ energy suppliers is £1 131; and the cheapest deal on the market is £807 – a massive difference of £324 and a clear indication that there are significant savings available for businesses who take the time to shop and switch.
So what stops business from making the business energy supplier switch? Usually, it’s the time and resources required to shop around, compare suppliers and come up with the best solution for the business’ needs. This is where an independent consultancy can step in, taking care of the process and helping you switch business energy supplier the simple way.
Looking further back at energy switching statistics: 2017-2019
Energy switches in 2017
The UK’s competition authority recently revealed that consumers were collectively losing out on £1.4bn of savings by choosing not to switch suppliers.
However, 2017 saw the highest rates of energy supplier switching for nearly a decade:
- 18% of consumers switched electricity suppliers
- 19% of consumers switched their gas suppliers
- 85 000 consumers switched in July alone – a 16% increase from 2016 figures
Against the backdrop of rising energy prices, consumers are shopping the market for the best deals and this is the primary driving force behind the statistics. A Utility Week survey has revealed that around a third of consumers were switching for the first time. Of those who had not switched, 39% of them said they had no intention to do so.
Commentators have found the figures encouraging. An increased switching rate is a sign that suppliers are addressing consumers’ needs and paves the way for further improvements by suppliers in terms of customer service, innovation, technology, and competitiveness.
However, the market is still divided with only a third of consumers actively switching and it is hoped that this upward trend is indicative of more and more consumers’ awareness around the benefits of switching.
By partnering with Smarter Business, you are teaming up with a group of experts who will ensure you are getting the best energy deals for your business. Contact us today to find out more about how we combine industry knowledge, a broad spectrum of services, and efficient customer service to offer seamless solutions to your business.
Surge in energy supplier switches continued into October 2017
Energy UK has reported that over 600 000 customers switched energy supplier in October 2017, bringing the current total to 4.5 million energy supplier switches. This is the second time this year we have seen monthly numbers in excess of 600 000. The report further shows that 32% moved to small- and mid-tier suppliers, whilst 33% moved to large companies.
Reporting on research showing the satisfaction of nine out of ten consumers in the switching process, Energy UK has posited that an increasing number of customers are finding they have the confidence to move suppliers. Chief Executive of Energy UK, Lawrence Slade, commented on the ease of switching, stating that there has “never been more competition or choice” within the market. Furthermore, the switching statistics do not include the number of customers who have checked tariffs with their existing supplier and benefited from savings.
If you haven’t discussed your energy tariff with your supplier or shopped the market for the best rates, you could be missing out on savings for your business. Join the 600 000 customers across the UK who have seen the advantages of moving suppliers in October.
At Smarter Business, we know that getting quotes and negotiating rates can be a time-consuming hassle for many businesses. We are here to offer our energy procurement expertise to save your business time and money when it comes to energy. Contact us today to find out about how we can help your business.
Switching trend continues into 2018
With an average of 24 000 consumers switching supplier daily in February 2018, the month saw a record-breaking 660 000 customers make the move during the course of the month, according to the latest figures from Energy UK. This is a 60% increase from last year’s figures.
Consumers are clearly making the most of market competitiveness to secure the best deal. This kind of market behaviour contributes to furthered competition between suppliers to provide even better quality price and service.
These figures clearly indicate the necessity of shopping the market for the best price and terms for your energy contract. The reality is, if you haven’t taken the time to conduct a market comparison, your business could be missing out on substantial savings which could be re-allocated to other areas of your business.
A new switching record in April 2019
The switching statistics have been shaken up once again! Over 660,000 customers switched to a new electricity supplier in April 2019, which is now the highest number ever recorded.
According to the latest numbers from Energy UK:
- 668,371 customers switched energy providers in April 2019
- This is a massive increase of 34% from the number of switches in April 2018.
- This brings the total number of electricity switches to over two million in 2019.
- This is an increase of 18% from the same period in 2018.
These figures undermine warnings that the UK government’s energy price cap would hinder competition. Last year, energy regulator Ofgem claimed the price cap would reduce switching by 30% as prices would converge around the cap.
Consumers confident about the switching process
Consumer confidence in switching is also high. Energy Switch Guarantee (which covers around 90% of the retail energy market) found that eight in ten customers are happy with the switching process.
Chief Executive of Energy UK Lawrence Slade said: “It is very positive to see that record numbers of customers continue to move to a new supplier in search of a better deal and we must remember Ofgem’s figures also show many more each month move to a better deal with their current supplier.
“So, I would encourage everyone to get in touch with their supplier, or have a look online, to see if there is a better deal for them, whether that is on price or the type of tariff you are looking for. And, at a time when we are facing a climate challenge on a global scale, it is important for all of us to look at our energy use and ensure our homes are energy efficient. This is the best way to keep your energy bill down while also reducing your carbon footprint so you can help save money and the planet.”
How to switch business gas and power the simple way
At Smarter Business, we know that every business faces the daily challenge of implementing a responsible, cost-effective energy policy. From negotiating with suppliers to implementing data-driven technologies, we have the expertise to strategise on your behalf in order to optimise your portfolio. When you decide to switch business gas and power, using the services of an energy broker takes the hard work out of energy procurement and management.