Energy price war – is switching difficult?

Ignoring your bills can seem like an easy option but it’s crazy to pay more than you need for a service. Would you pay £10 for a drink when you could have the same drink for £6 next door? Mr Financial thinks not…

Energy price war – is switching difficult?

The best way to save money on gas and electricity bills is to always make sure you’re on the best deal that’s available. You might be wasting your hard earned cash paying bills that are far too high with suppliers that are not providing you with competitive rates.

It takes about 20 minutes to check on one of the many comparison sites and it could save you up to £300 a year!

Whether you own or rent your home, you’re still responsible for gas and electricity and you should be able to switch. Mr Financial recommends you check your tenancy agreement for any clauses about switching but it should be allowed. Before you switch you do need to pay any outstanding debts with the companies, sadly they don’t just let you off debt…

Changing energy supplier is just so easy in 2020. The whole process from start to finish should take about three weeks and you won’t be cut off at any point. The only change you’ll notice is a new supplier sending you your bills (if you switch supplier) and lower rates (therefore more money in your bank account). The only paperwork you’ll need to switch is:

  • A recent energy bill, or annual energy statement (this contains all the information details about your current plan)
  • Your bank details (you’ll need these to switch to new supplier).

When you choose a comparison site, while they do help you compare the deals available, they don’t all work with all the suppliers, so make sure you try a few to find the best deal. Ofgem recommends some accredited sites. When you switch, some sites offer rewards such as vouchers and cashback if you switch through them, which is a nice bonus.

Make sure you do your research into all the tariffs available; your lifestyle might suit a certain tariff that not many people know about. Your new supplier will arrange the switch and ask you to read your gas and electricity meters and your old supplier will issue your final bill.

If your home has a pre-payment meter, definitely try and get your supplier to switch to a standard meter. Prepayment meters are one of the most expensive types to get energy. You might be able to save hundreds of pounds a year by changing to a standard meter and switching to a better deal, there’s never harm in asking, so just pick up the phone!

There are other ways to cut your energy costs – pay by direct debit (usually cheaper and you don’t have to worry about missing payments), use less energy (energy saving light bulbs, turning down the thermostat, don’t boil more water than you need etc.), and make your home more eco-friendly (you might even be eligible for a Government grant).


If you’re on a fixed price energy tariff, it’s incredibly important to remember to switch again before the deal expires to avoid being pushed onto a more expensive deal.

With a fixed price energy tariff, there are pros and cons:

  • You won’t be affected by any price hikes for the length of the contract.
  • However, if energy prices fall you may be stuck paying the pricier rate.
  • Some fixed tariffs have exit fees and you’ll to pay them if you want to switch deals.

The name of “fixed energy” is a misnomer as it does not in fact mean your energy bills will remain the same no matter how much or little energy you use, you’ll pay the same rate per unit, but the more units you use, the more money you’ll be charged.

With a variable rate tariff bills rise and fall based on what is happening in the energy market.

Mr Financial recommends keeping an eye on the best deals and switching regularly to stay on top and save money!

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