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"It's no wonder small energy suppliers are eating the 'big six's' lunch"

18 May 2016

Nearly 60% of energy switchers have chosen a smaller supplier in 2016

New figures from Gocompare.com Energy show that people are rejecting the 'big six' suppliers' expensive tariffs in favour of best-buy-dominating deals from the UK's smaller energy suppliers.*

So far this year, almost six out of every ten (58%) energy switchers opted for one of the UK's growing number of smaller energy suppliers, turning their backs on 'big six' tariffs that, for some time now, have rarely featured among the top ten cheapest deals.

Ben Wilson, spokesperson for Gocompare.com Energy, said: "Smaller energy companies have been offering the cheapest energy deals for quite some time, so it's no wonder that they are eating the 'big six' suppliers' lunch.

"Currently Avro Energy, So Energy, GnERGY, iSuppluEnergy, Flow Energy, GB Energy Supply and Octopus Energy are all offering dual fuel tariffs costing under £770 a year. The only 'top ten' dual fuel tariff offered by a 'big six' supplier, albeit indirectly, is from Sainsbury's Energy (via a partnership with British Gas), at an average annual cost of £750 with a £30 per fuel early exit fee.

"Many people probably won't have heard of several of the smaller suppliers that are offering competitive deals at the moment, but I'd encourage them to not let that put them off. These suppliers are subject to the same Ofgem licencing conditions as their bigger counterparts, and their customers benefit from the same protections too.

Ben continued: "As well as the cost of the energy itself, check that you're comfortable with any early exit fees if you're considering a fixed tariff. There may be no financial penalty whatsoever for leaving a deal early, but charges of £30 per fuel aren't uncommon.
"But with more than half of those who switch energy tariffs saving at least £207 per year**, setting aside a few minutes to compare what's available is definitely time well spent."

Top ten cheapest tariffs

Supplier

Tariff

Tariff type

Annual cost

Early exit fees

Saving against avg. ‘big six’ standard bill

Avro Energy

Simple and Connect

Fixed

£744

None

£322

Sainsbury's Energy

Fixed Price May 2017

Fixed

£750

£30 per fuel

£316

So Energy

So Duck

Fixed

£750

£5 per fuel

£316

GnERGY

Fixed June 2017

Fixed

£751

£24.99 per fuel

£315

iSupplyEnergy

iFix June 2017

Fixed

£752

£30 per fuel

£314

Flow Energy

Connect 6

Fixed

£752

£30 per fuel

£314

GB Energy Supply

Fixed 12 Ruby

Fixed

£755

None

£311

Octopus Energy

Octopus Fixed

Fixed

£763

None

£303

Octopus Energy

Octopus Variable

Variable

£763

None

£303

GB Energy Supply

Premium Energy Saver

Variable

£765

None

£301



Based on dual fuel, payment by monthly direct debit, averaged across all UK regions and for households with an annual energy usage of 12,500kWh gas and 3,100kWh electricity (medium user). Excludes collective tariffs. Correct as of 17/05/2016.

Gocompare.com's has produced a guide on small energy suppliers.

-ENDS-

Notes to editors

*Based on customers who switched energy provider using Gocompare.com between 1 January 2016 and 30 April 2016.

**At least 51% of customers who provided their energy usage and received a price for switching energy supplier for both gas and electricity with Gocompare.com saved £207 or more (1 October to 31 December 2015)