Which? research reveals that ?the energy market is failing as ?the majority of customers are still missing out on savings of up to £400 a year.
Customers on standard tariffs with the Big Six providers – British Gas, EDF, Eon, Npower, Scottish Power and SSE – will save just £30 a year, based on recently announced cuts.
However, these same customers would save up to a massive £400 a year if they were to switch to the cheapest dual-fuel deal on the market, or £260 if they were on a gas-only tariff.
If you think that the energy market is broken and needs fixing, join our Fair Energy Prices campaign.
Energy market investigation must deliver
Which?’s research, revealing how the Big Six price cuts are dwarfed by the savings customers could be making by switching to an alternative provider, comes ahead of the conclusion of the Competition and Markets Authority’s (CMA) investigation into the energy market.
Which?’s Fair Energy Prices campaign calls on the CMA to tackle the problems in the energy market by making switching between providers and tariffs easier and imposing penalties on those suppliers who don’t protect the most vulnerable. To date, over 360,000 people have supported our campaign.
Today, Which? submitted a dossier with a snapshot of stories from more than 30,000 customer comments to the CMA. The dossier details consumer dissatisfaction with energy companies and the market. You can read the energy customers’ stories in the Which? energy dossier (pdf).
Customers are stuck on higher tariffs
The Government estimates that only 12% of customers currently switch their gas provider. With seven in ten (71%) gas customers stuck on standard tariffs and nine in ten (88%) households still with the Big Six, the forthcoming energy inquiry must make it easier and engage significantly more people to switch to a better deal.
Which? executive director Richard Lloyd said: ‘Millions of people are still paying way over the odds for their energy and levels of switching, while increasing, are still woefully low. We would urge all consumers, especially those on a standard tariff with the Big Six, to switch to a cheaper deal today.’
Our latest consumer tracker reveals 63% of people in the UK are worried about energy prices, and only a third of people (34%) trust energy providers. So there are high expectations for the outcome of the investigation into the energy market.
(Energylinx data used to examine the energy deals available on 20 February 2016. Prices are for a typical medium household [12,500kWh per year gas and 3,100kWh electricity] across all payment methods and averaged across all regions. Consumer tracker: 2,090 UK adults, January 2016.)