Record numbers save in Ofgem's latest collective switch trial

Customers who switched their energy saved an average £263

Record numbers save in Ofgem's latest collective switch trial

Ofgem’s latest simplified collective switch trial saw around 30% of the disengaged customers involved change their energy deal.

In total, 900,000 disengaged customers who’d been on a standard default tariff for three years or more took part.

They first all received letters inviting them to a collective tariff switch which had been negotiated by EnergyHelpline. As part of the deal, they were required to choose a supplier with a good customer service rating.

Customers weren’t asked to provide complicated information about their existing tariff in order to view a personalised savings calculation which made it far easier for them to begin a switch.

The rate at which customers on the Priority Services Register, who are often in vulnerable situations so tend to switch less frequently, switched was nearly as high as others in the trial.

71% of customers who switch using EnergyHelpline do so by phone meaning it’s more likely that those without reliable access to the internet will benefit.

This collective switch completes Ofgem’s latest round of trials to find the best ways to help disengaged customers make better choices about their energy.

The results of this trial will be published in full today and will help inform Ofgem’s ongoing plans for a more competitive retail market after the price cap is lifted.

1.1 million energy customers have been part of Ofgem’s engagement trials with 94,000 of those switching to a better deal saving around £21.3 million.

“Ofgem’s latest simplified collective switch, and the wider programme of engagement trials we have been running, show the potential to get the energy market to work better for disengaged customers, including the vulnerable,” said Mary Starks, Ofgem Executive Director for Consumers and Markets.

“The results will inform our plans to ensure that customers still get a fair deal and that more enjoy the benefits of competition after the price cap is lifted.

“In the meantime, customers who do not switch will always pay a fair price for their energy under the price cap.”


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