The big six continue to dominate the energy market, but there are lots of smaller energy suppliers out there, too. With the promise of cheaper energy tariffs and better customer services, there’s a lot to be said for switching to a small energy firm.
The problem is, many customers believe smaller energy companies can’t provide them with the same level of security they’d get from the likes of British Gas, EON and EDF Energy. So, these powerhouses continue to retain custom while lesser-known companies are often left fighting to hold their relevance in an ever-competitive market.
The question is, should you switch to a small energy supplier? And what are the benefits of switching to a smaller energy supplier? We’re here to help.
Why you should consider switching to a small energy supplier
There are plenty of pros and cons when it comes to switching to a small energy provider, but whilst sticking with the likes of Scottish Power does provide a sense of security, it may still be worth making the switch.
The energy market has suffered enormously as a result of the pandemic, with smaller energy suppliers in particular struggling to make ends meet – hence why so many have gone into liquidation. However, there are still plenty of smaller firms with a lot to offer – including years of experience and stability.
Newer firms such as Pure Planet, Powerhop and So Energy all boast cheaper tariffs for gas and electricity, making them particularly appealing to customers hoping to save on their energy bills.
But if you’re looking for a company that’s been around for that little while longer, the likes of Ecotricity, Green Energy and Good Energy come with the added benefit of being well-established, too. These three firms have been up and running for more than ten years, giving customers reassurance that their energy supplier isn’t going to go bust.
Which small energy supplier has the highest rating for customer satisfaction?
Customer satisfaction is something that everyone should consider before switching energy suppliers. So, if you’re torn between two really similar energy deals, take the time to research their customer services ratings. Find out how happy customers are with the service they are receiving and whether or not they’d recommend their energy firm to someone else.
In September 2020, an online survey was carried out on 7330 Great British Citizens. Brits were asked to rate how satisfied they were with their chosen energy supplier. The study revealed that out of 50+ energy suppliers currently operating in the UK, the top-ranking firm was in fact a small energy supplier.
This survey also revealed that the lowest ranking firm continues to dominate a huge chunk of the market, providing energy to over 3 million customers. The study confirms that although the majority of UK citizens still receive their energy from the big six, those with smaller suppliers tend to be much happier. A reassuring set of statistics if you’re nervous to switch to a small supplier.
Is switching to a small energy supplier risky?
Switching to a small energy company when you’ve been with the same leading energy company for a long time can feel particularly daunting. The coronavirus pandemic has made for an incredibly challenging market and even now, we are continuing to see energy firms collapse as a result of the pandemic.
That being said, customers needn’t worry themselves silly over the prospect of switching to a smaller firm. There are lots of well-established small energy suppliers, and even if the worst were to happen, you would never be left without a source of energy. Energy regulator Ofgem will appoint a new supplier for you through the Ofgem safety net.
If your supplier does go out of business, Ofgem will appoint a supplier to take on you gas and electricity supply. You’ll then be free to switch energy suppliers or stick with the supplier chosen by Ofgem.
It’s also worth noting that a lot of small energy companies offer a switch guarantee. An energy switch guarantee means that your final bill from your previous energy supplier will be sent to you within six weeks after your switch has been finalised.
If this previous supplier owes you money, they will refund this sum within 14 days after the final bill has been issued. Processing this refund is automatic, but your current gas and electricity supplier must have either your name and address or your bank details in order to get the money to you.
Which energy suppliers offer best value for money?
If you’re looking to switch energy suppliers, it’s likely that you’ve already done a little bit of research to compare energy prices. In which case, you’ll already know that smaller suppliers are often cheaper. So, if saving money on your energy usage is your number one priority, switching to a small supplier is almost definitely the way to go.
But of course, be sure to do plenty of research. If you have any reservations about your prospective new supplier, take a look at their customer service ratings and find out how long they’ve been around for.
Although your new energy supplier may be much smaller than your existing one, it may have been running for many years, just like energy industry leaders Shell Energy and EON.
How to find the best deals and switch energy suppliers
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