MSE News: Energy users are put off switching because they haven't heard of the...

phillw

fredandwilma wrote: »

I personally, research any of the smaller unknown companies, and i certainly wouldn't use a company with little information available or with a director who has owned previous companies which have gone into liquidation, for instance.

Conversely, maybe for the uninitiated, maybe you would see a company you haven't heard of offering a low price and be tempted to use that company surely, if you are influenced solely by price?

What else are you influenced on? How do you quantify that when comparing?

What effect do you think a directors previous job will have on you?

How much extra money are you prepared to pay for the knowledge that a director hasn't previously been a director of a company that has gone bankrupt?

buglawton wrote: »

We need an energy competition framework where there's a measurable service metric, audited by mystery shoppers, and where below standard companies lose their license to supply energy.

We would have zero energy suppliers at the end of that. I have had problems with eon, npower & british gas. None so far with iresa.

Consumerist

slugslime wrote: »

. . . I was with GB Energy which went out of business. Was I worried? Of course not as I know Ofgem would sort it out and Co-op Energy came to the rescue honouring my fixed deal with GB. . .

I think, perhaps, that GB Energy customers were quite lucky.

There is no guarantee that the customers of failed energy companies will keep either their tariff rates or credit balances with a supplier of last resort in the future. If, as predicted, there are more small-supplier failures in the pipeline, I don't anticipate any rush by, say, the big six to pick them up on the bargain-basement terms the smaller suppliers are offering.

My suggestion would be to proceed with caution if considering a smaller supplier.