Big Energy Switch

slim_j

Does anyone have any knowledge of the 'Big Energy Switch'?

I live in Sheffield and they are having one soon and some 35k people have signed up. Google 'Big Sheffield Switch' and hit the first link (Sheffield City Council) if you would like to see a full explanation.

Basically, I think I like it works like 'Groupon' style sites in that large volume buying power forces a reduction. On April 9th energy companies bid for all those signed up to offer lower rates than normal.

My queries are;

1) Once complete you don't have to change over. So what if only 10 people switched over - does the deal still count?
2) Will it actually offer cheaper savings than can already be found shopping around?
3) Will this help or hinder long term competition between suppliers?

Nada666

1) No idea
2) No.
3) It will help competition because the winning provider will trap lots of vulnerable sheep whom they can then use to subsidise cheaper tariffs offered to those who switch 'normally'.

Wywth

slim_j wrote: »

Does anyone have any knowledge of the 'Big Energy Switch'?

I live in Sheffield and they are having one soon and some 35k people have signed up. Google 'Big Sheffield Switch' and hit the first link (Sheffield City Council) if you would like to see a full explanation.

Basically, I think I like it works like 'Groupon' style sites in that large volume buying power forces a reduction. On April 9th energy companies bid for all those signed up to offer lower rates than normal.

My queries are;

1) Once complete you don't have to change over. So what if only 10 people switched over - does the deal still count?
2) Will it actually offer cheaper savings than can already be found shopping around?
3) Will this help or hinder long term competition between suppliers?

1. Yes - past experience suggest less than about 10% of applicants actually go on to take up the deal
2. No, at least based on past experience of similar schemes.
3. Probably neither. Again based on past experince, only a few suppliers even bother to bid and those that do simply offer one of their existing generally available tariffs.

I suggest you follow this MSE advice
http://www.moneysavingexpert.com/utilities/you-switch-gas-electricity

... and you might get cashback too