Scared to move to smaller company!

Bigphil1474

OP, I'm with you on being cautious about smaller companies, but many of them are well established now, e.g. Bulb. I am, however, with EDF and have been a few years. Any of the big six will be cheaper than BG standard - even BG probably. I tend to do a few comparison sites, and unless there's a significant price below the big 6, I'll stick with one of them. For me, it's more about if anything goes wrong e.g. with billing mess ups, then I want to deal with a company that has a large infrastructure behind it. It might be daft, but that's how I see it.
Fortunately, I've not found anyone significantly cheaper than EDF to make it worth me switching, plus I like their Android App. Maybe this year, as their cheapest variable isn't particularly competitive, and my current deal ends 31st August.
Don't forget that the 'saving' stated on the comparison sites isn't always what it looks. I look at projected costs based on my typical usage (from my meter readings) and compare that against what my actual cost is at the moment. I go with the cheapest of the companies I'm happy with, or stick with EDF if it's not worth me switching.

badmemory

Any bill from BG should show if they have a cheaper tariff than the one currently in operation. So it should be possible to improve the tariff without changing supplier. Or is part of the problem that you don't want a fixed period? Section 3 of the bill I believe.

AndyPK

Well go with one of the big six then. I reckon you will still save over £200 a year. See what you can find

AJS321

The only advice I can offer with switching to a smaller supplier is try not to build up too much of a credit balance, or get it refunded on a regular basis.

These new suppliers have to have very low tariffs to get a foothold in the market place, but they quite often are set up by people who have next to no industry knowledge and operate out of units on industrial estates with very basic operating systems, poorly trained staff and a make it up as you go along approach to developing procedures on things like billing and customer service.

They also tend to have very little start up capital and no big parent companies to bail them out if things go wrong. This and the tight profit margins they operate to means that they!!!8217;re unable to bulk buy energy in the wholesale markets in the same way larger suppliers can and with every increasing wholesale princes and now the price cap coming in, many of them are struggling to survive.

OFGEM are currently carrying out an investigation into the financial health of these companies and whether some of them should ever have been given supply licenses in the first place, but that!!!8217;s a different issue.

Not surprisingly, two of these companies have already gone bust in the last two years and most people in the industry believe more will follow. If this does happen to your supplier, the Continuity of Supply Regulations come into force to make sure you don!!!8217;t get cut off. What happens is that OFGEM invites other suppliers to enter into a bidding process for the company and you automatically get switched to the successful bidder. This process takes about 7 days from start to finish.

However, the new supplier will almost certainly put you on their most expensive tariff and will NOT refund any credit balance you had with your old supplier.

When GB Energy went bust in 2016 and Co-op Energy won the bidding process to take them over they put all their new customers onto a fixed tariff and did honour credit balances. But this took the industry by surprise because it was something Co-op did of their own choosing and were under no legal or regulatory requirement to do so.

So my advice is that it!!!8217;s ok to switch to one of these new smaller suppliers, but please always be aware of a credit balance you might have on your energy account because it isn!!!8217;t absolutely safe.

Chrishazle

After years with BG and Sainsburys (effectivly also BG), on 12 month fixed tariffs, I switched to Affect Energy 2 years ago again on 12 month fixed tariff, and have no regrets. Their CS is excellent, I get an email every month asking me to submit meter readings (online) and a few days after I submit the readings (I'm on dual fuel, single rate tariff despite having a dual rate meter) I get an email saying my statement is ready, I can view and download it so am always on top of my useage.

worried_jim

Chrishazle wrote: »

After years with BG and Sainsburys (effectivly also BG), on 12 month fixed tariffs, I switched to Affect Energy 2 years ago again on 12 month fixed tariff, and have no regrets. Their CS is excellent, I get an email every month asking me to submit meter readings (online) and a few days after I submit the readings (I'm on dual fuel, single rate tariff despite having a dual rate meter) I get an email saying my statement is ready, I can view and download it so am always on top of my useage.

I spent two years with them, advantage being they are over the road so any issues and I could pop in for a chat or catch them at lunch in the Crown & Anchor. Sorry to go but no longer the cheapest.

bri160356

Worried about little companies?;…my own personal experience is that it’s the big companies that should worry you.

I spent decades with Scottish Power but in my final 2 years with them I had constant problems,…incorrect billing issues, hugely fluctuating D/D’s based on outrageously inaccurate estimates even though I was supplying accurate reading on an almost weekly basis at some points. It was a serious pain in the bum and they were incapable of sorting it out.

I left Scottish Power, moved to Br.Gas and got some of their ‘smart meters’ fitted;…totally accurate automated billing based on daily meter readings supplied by the ‘smart meters’ themselves;…no more wildly fluctuating D/D’s,…that’s what they said!...WRONG!

They constantly over-billed me and I didn’t notice;…I didn’t actually monitor the bills because I stupidly believed the claptrap about their automated/accurate ‘smart meter’ billing system.

When I left Br.Gas last year they’ve owed me about £700.

I moved to Avro Energy in October last year;…much cheaper tariff, seamless switch-over and they keep on top of the D/D value and adjust it accordingly.

My ‘smart meters’ are now ‘dumb meters’ so I have to supply a reading online on the 10th of every month (and I do check my monthly bill and D/D now!) and so far so good with Avro. No issues whatsoever.

Some small companies may have problems, but the big companies aren’t problem free either,…IMHO, of course.

My advice to anyone wary of moving to one of the ‘minnows’ is don’t be afraid of the dark; do your research, and go for it.

If you’re on a tariff with one of the Big-6 that’s ending soon (or god-forbid you’re on a ‘standard’ tariff!) it’s a racing certainly a move to one of the minnows will save you a substantial chunk of cash, compared to the next tariff that the Big-6 will offer you.

Don’t believe the Big-6 blurb about how much you’ll 'save' by staying with them on a new tariff,…it’s misleading.

whattochoose

Just wondering if anybody has ever used cashback sites like Quidco when choosing new tariff?

johnbhoy10

This thread highlights my situation with my current EDF deal up at the end of the month. I've being with EDF a good few years now but i'm not finding an acceptable deal with any of the big 6 which i'm happy with. Usually by now i would have jumped off this but after my last exeprience with the Co-Op which only lasted a couple of months i'm reluctant to leave the big boys. This time i think i may have to give one of them a go!!

'Outfox the Market' seem to be the best (not the absolute cheapest) when you take into account Customer Service as well as price!!

cherry76

I switched to Octopus on Monday having been with EDF for 7 yrs. No problems with EDF but their tariffs are no longer competitive. I was scared as well to switch but have done some research and read good feedbacks on the company. It seems to be going ok but will not know for sure. I also got a sorry you are leaving from EDF and told me what to expect as the switch is progressing. I will be saving £100 with Octopus and I will also get £50 cash back. There is no exit fees so will switch again if not happy. I think once I have done I will be more confident next time. Octopus is not the cheapest on comparison website but I will not go with a company without reading their feedbacks.