Small Energy Providers – Few Things you Need to Know

The market had few (around 10) suppliers 10 years back but now UK has over 50 energy suppliers offering their services to households and Businesses. All suppliers offer standard, fixed, variable and special tariffs and it’s becoming much more difficult for a customer to choose from the big list of suppliers and tariffs.

The new entrants launched new cheaper tariffs to attract customers. As we all know, five out of 6 major suppliers increased their Gas & Electricity prices. The customers are feeling the pinch and started to explore the market for cheaper deals. As per Mirror news 415,000 customers switched their energy provider in the month of February which is a huge number.

The market is flooded with Small Energy Providers and tariffs and customers need specialist advice to choose their energy tariffs to protect them from future prices rises and save money now on their energy bills. The best solution is to make use of energy comparison websites or advisors who are independent and provide unbiased market information and help customers to switch to a cheaper deal.

Customers are still skeptical about choosing new suppliers for their energy. This article will highlight the Pros and Cons. Please consider the following points before switching.

Pros

  • You will get cheaper tariffs as these energy suppliers offer the best tariffs to attract new customers.
  • The government has given exemption to new and smaller suppliers from ECO (Energy Company Obligation) to make the market more competitive.
  • The new suppliers offer few tariffs to their customers to make it simple for them to choose.
  • The big six suppliers are always under pressure to increase rates to manage wholesale prices and to cater to their huge customer base.

Cons

  • Not sure about their customer support.
  • In the recent past couple of new suppliers closed operations leaving their customers in limbo and wait for Ofgem to intervene to move them to other supplier.
  • Delay in switching process

Considering the price rises by big 6 suppliers, it’s a fair idea to explore with new suppliers to save money. The best way is to compare through independent energy comparison websites like www.vswitchusave.co.uk to select the suitable supplier and to save money.